5 Steps to Stop Living Paycheck to Paycheck

in

Over half of the US population (63%) is living paycheck to paycheck.

With the pandemic causing job loss, unemployment spikes, and the unpredictability of the economy, everyone should have a plan to ensure that they are not dependent upon a paycheck to live. Whether starting by ensuring you can miss a month to securing 3 to 6 months of living expenses, having substantial savings is essential to soften the blow in the case of income loss. 

5 Principles to ensuring that you stop living paycheck to paycheck are 

  1. Give: You can’t receive more with a closed fist.

  2. Make a Budget.

    1. Minimize expenses and maximize income.

    2. Create an emergency fund.

  3. Make the hard calls to create routine into your finances.

  4. Save! Learn to save aggressively!

  5. Rinse, recycle, repeat. Continue this journey until you have 6 months of income.

See the link here for breakdowns of how to do each.

See the video here for details on each step: