Sometimes there are these months where we owe more then we make, then on a five week pay month we catch up. Any tips on how to stay afloat when this happens?

I cut back on spending when my expenses are too high. I cut back on some foods, I eat indoors, and I buy cheaper cigarettes too. There are alot of ways you can cut expenses. You can buy what is on sale, and clip coupons or use a discount card. It all helps.

I think most people generally spend a certain percentage more than what they can afford or earn each month. This is true of people on low and high incomes. The more you earn the bigger and more expensive the luxury items become. Most people have a mindset that the good times will always be with us. It's only when we hit an economic downturn - like the current one, when reality hits. This has happened throughout history and will continue I'm sure.

Personally I always try and keep an amount in my bank balance that does not go below at least 6 months worth of salary. Ideally a lot more. If you can try and increase this 'safe amount' throughout your life then you will likely always be financially fine. If that means foregoing a few luxuries then so be it.

This is really difficult. In my case I always try to think of the possibilities that I might run short of my income. I don't spend my future income in advance by making some credit because I'll never know what might happen to me, like I'll be sick and may not be able to earn that income.

I think you can drive yourself crazy over money if you get to thinking about all the things that COULD happen. Stops you from enjoying life.

You should have at least a list of your monthly budget. Try to compare it or reconcile it to your income. It would avoid having a shortage on your income.

You should make a plan about your incoming and outgoing money. Do not forget these extra billings that come every quarter or half a year.

Strictly ask yourself about every spending if it is necessary or a luxury one. Cut the outgoing money, start with these payments that are voluntary.

Mockingbird wrote:
Sometimes there are these months where we owe more then we make, then on a five week pay month we catch up. Any tips on how to stay afloat when this happens?

well maybe for a start ..you have to accept and realize that you must (or i must)buy things that you needed most and with in the budget always..bear in mind how much you are earning this month and spend only 90 percent( of the income) if you can help it which of course in my part i really cant control my spending spree..and its my big problem too..maybe it will depend on your self determination not to buy impulsively and everything..

I've experienced this before and it was a very hard situation. I was almost hopeless until my parents helped me in slowly getting back in track. It takes a lot of instant move like the act of saving and utilizing the basic things I have instead of buying.

If you get stuck, just make sure that you never ignore a bill. Pay something, even if it's not the full amount. Most companies understand and won't bother you, as long as you show good faith and give them something.