Tired of being broke? These personal finance tips will help you keep going when you have no money and start moving towards financial freedom.
How do you deal with having no money? When you are broke it can be hard to see the way out of your current financial situation. These tips will help you survive this time of your life and moving forward on the path to financial freedom.
Note: This post contains affiliate links. For more information, see my disclosures here.
1. Keep a positive mindset
Right now might be a tough time for you financially, but realize it will pass. Nothing is permanent and you just have to do the best you can to get through it.
Stressing and having a negative mindset isn’t going to change the situation, it’s only going to make you feel worse. Take it day by day and focus on the positive.
2. Try a no-spend challenge
Turn saving money into a game to stay motivated. Try not spending money for a week or do a 30-day no-spend challenge. Certain necessities like groceries are allowed, but any extra spending is not allowed.
Be sure to check out my 2019 Budget Binder. It includes a Habit Tracker that’s perfect for staying motivated on your no-spend challenge!
3. Find free activities to keep busy
If you are broke, staying in and moping about the situation isn’t going to help. Go for a walk, check out a book or movie from your local library, or look for free activities in your community. Keeping busy will take your mind away from your current financial situation.
4. Skip grocery shopping for a week
How much does your family spend on groceries per week? $100? $150? Or more? Try skipping the grocery store for a week and eating what you already have in your cabinets and freezer.
I try to do this once a month to keep my grocery costs down ( and use up what I have already).
5. Sell items you don’t use for extra cash
Chances are you have plenty of things around the house you don’t use anymore. Clean out the closets, basement, or garage and sell them for some quick cash. Try Facebook buy/sell groups, Craigslist, or any other local community groups.
6. Take a close look at your budget
When money is tight, a budget is a necessity. Create a budget so you’ll know how much money is coming in and where it’s being spent.
READ MORE: 6 Essential Benefits of a Personal Budget
7. Cut unnecessary expenses
When you first find yourself with no money left at the end of the month, you should start by taking a look at what expenses you can reduce/eliminate.
For example, subscriptions for music, tv streaming, and gaming can be reduced or eliminated. Also, you can have leftovers to save on food waste or create a meal plan to cut your grocery costs.
READ MORE: 12 Ways You Are Wasting Money Every Month
8. Consider ways to reduce your fixed expenses
There are times we end up in a situation where there’s no way out other than making a significant life change. Whether it’s becoming a one car family, moving in with family, or selling your home, sometimes choices like this are necessary to begin moving forward.
If you’ve already tried other methods to cut expenses and get your finances on track, it may be time to make more drastic changes.
9. Put the credit cards away
To get on the right track financially, you have to stop using credit cards as a crutch. I know I’ve been in the situation where my checking account was empty and I pulled out the credit card to make purchases anyway. I should have just gone without instead of getting further in debt.
If at the end if the month you find you are making up the difference in your budget by pulling out the credit cards, it’s time to put them away. Cut them up, freeze them in ice, do whatever you need to avoid using your credit cards.
The first step in improving your situation is to stop digging a bigger hole.
READ MORE: 7 Ways to Get Out of Debt Fast
10. Take responsibility for your actions
Try not to blame everyone else for your situation. Realize that you have made decisions that led you to where you are today.
Taking responsibility for your own actions is an important step to avoiding the same mistakes.
11. Find additional sources of income
One of the quickest ways to get out of a financial hard spot is to increase your income.
It could mean working overtime, picking up a part-time job, or taking odd jobs like dog walking or babysitting. Do you have a unique skill such as photography, sewing, or computer repair where you can offer your services for money?
12. Pay your bills on time
Whenever possible, try to pay your bills on time. Late fees of $20-$30 (or more) can add up quickly and put a serious dent in your budget!
Get the Free Bill Payment Checklist Printable to organize and track your monthly bills.
13. Learn ways to live more frugally everyday
There’s always ways to stretch a dollar. From being more conscious of your utility usage to meal planning to cut your grocery costs, little savings will add up!
READ MORE: 100 Frugal Tips For Beginners
14. Track your expenses
You can’t get your spending under control until you know where your money is going. Start tracking your expenses each month so you can get a clear financial picture. Once you identify where you are spending money, you can start looking for ways to cut those expenses.
Check out my 2019 Budget Binder for printables to track your expenses and budget.
15. Find an accountability partner
Whether it’s a spouse, family member, or trusted friend, find someone that will help to hold you responsible for your actions. They can help you celebrate your wins too!
16. Learn your weaknesses
Think about where your financial weak spot is. Do you like to grab fast food for dinner on busy days? Do you end up with more that groceries in your cart at Walmart? Or maybe you can resist shopping when you have a coupon or discount code?
Once you know where your biggest weakness is, you can take steps to overcome it. For example, find quick easy meals to cook on those hectic nights or stick to cash budgeting for your groceries.
17. Set clear financial goals
A clear picture of what you want for yourself is a must! You need to know what you are working towards to stay motivated.
Check out my free email course to help you develop goals and priorities: Money Mind Shift
18. Carry cash for trouble spots
We all have areas of our budget that are difficult to keep in check. Whether it’s clothes, entertainment, or groceries, there’s a simple way to keep spending under control.
Use cash. Take out cash for the budgeted amount for your trouble category and then when it’s gone, it’s gone. When we are using a debit card, it’s hard to define a specific budget in our head. The visual of having cash helps keep us on track!
How to deal with being broke
When you have no money, it’s easy to feel hopeless about your situation. Finding ways to save money, increase your income, and manage your money better will get you on the right track financially!