Living paycheck to paycheck is not anybody’s preferred way to live. And, yet many people can’t seem to break free. There are different reasons why people live this way.
However, for the most part, the people generally fall into two categories: either they don’t make enough to support themselves or they mismanage their money.
Regardless of the reason, it can prevent you from achieving a comfortable lifestyle and take a toll on your overall health.
Living on the edge of total financial ruin can cause high levels of stress and anxiety. With a temporary situation, such as an unexpected medical emergency or a short-term loss of employment, you can recover rather quickly.
However, when it’s constant, and you live with it day in and day out, it can cause your immune system to falter, making you more susceptible to colds and cause chronic stomach ailments. You can also start to lose hope and interest in life and fall into a serious state of depression.
Falling into depression can cause you to do things you wouldn’t necessarily do in a healthy state of mind. You may take up drinking or start to use drugs as a way to escape the real world and the problems you face. Unfortunately, abusing your body by taking on a bad habit is only going to further complicate the situation.
The good news is that if you can’t beat the depression on your own there is help available. You can see a therapist or you can visit your doctor and get a prescribed medication or, if you prefer not to take a prescription drug, a non-invasive treatment like TMS may prove effective.
You may ask, what’s TMS? It’s an electromagnet that sends a magnetic pulse directly to nerve cells in the brain that control your mood and depression.
Digging a Deeper Hole
Living paycheck to paycheck requires a delicate balancing act, and unfortunately, when an unexpected payment comes due your entire system becomes unraveled. This will cause you to make late payments often, and even miss a few.
As a result, you’ll pay extra fees on your bills and your bank account. And, if that’s not enough, there’s more. You’ll also have a poor credit score which translates into paying a higher interest rate for things like a car.
Thankfully, there are ways to break the living paycheck to paycheck cycle. It will take commitment and restraint on your part, but you can accomplish it.
The first thing you need to do is establish a budget. Gather up your bills and write them all down on a sheet of paper. Then, deduct your monthly net income from the total. If you have money left over, you’re on your way to starting over.
However, if you owe out more each month than you bring in, you will need to either cut expenses or take on a second job.
Changing Your Relationship with Money
In order to achieve success and live a comfortable life, you will need to change the way you view and manage your money. With a budget in place, you will start to see a balance accruing in your checking account and that doesn’t mean it’s time to spend.
To remain comfortable you must have at least 3 to 6 months of bills in savings to cover a financial emergency. Once you have that money tucked away, you can then start to do little things to treat yourself while you also stay on track going forward.
Living paycheck to paycheck is not a lifestyle that anyone should adopt. There is no security in the unknown and it can cause you to become physically ill or emotionally unstable. Getting on a budget and sticking to it will slowly free up monies that you can use to enjoy life.