Being broke is something that many people, unfortunately, experience at some point in their life. I’m not talking about being a little short on cash and needing to take out an emergency loan, but instead, those people who are flat-out broke.
The reason why they’re “broke” could be anything from living paycheck to paycheck, or maybe the person has credit card debt that’s just too high for them to pay off. In this blog post, we will discuss what possibly led you to your current financial situation and where you can find solutions as soon as possible.
Reasons Why You’re Broke
You Don’t Plan Your Expenditures
If you find that your money slips through your fingers quickly and you are left with very little or nothing to put towards savings and investments after every paycheck, then you might need some with budgeting.
Generating pay stubs is an excellent way to manage this because you’ll be able to see how much money is coming into your household each month from all sources of income. This will give you a clear picture of where your monthly expenses should be going and which areas need adjusting based on your situation.
You Compete With Everyone
You find yourself buying things you can’t afford to impress people you probably don’t even like. Keeping up appearances and competing with people when it comes to material things messes with your financial focus.
If you’re trying so hard to keep up appearances, you could overspend and end up going deep into debt to maintain it all.
You Have Unpaid Debts
You owe the bank, you owe your credit card company, and you might even be in a little to a medium-sized loan with some of those relatives who seem like they’re always asking for money.
If you have unpaid debt, your monthly take-home pay is less than what it would be if you made payments on all of your debts. That’s because the money you’re going to use to pay off those debts will no longer return to your checking account and, therefore, cannot be used for other necessities like rent or groceries.
Ways To Make Money
Teach Others A Skill That You Have Mastered
Your artistic talent, athletic ability, or other skills might allow you to get paid to teach others. You could either go freelance or try getting help from an agency that matches you with students. By doing this, you can make some good money, improve your teaching abilities and help others at the same time.
Sell Your Stuff
When you’re broke, you need to take action quickly to earn money. Selling items around your home is one of the best ways to achieve that.
If you have clothing, electronics, decor, furniture, kitchen supplies, tools, and clothes that you no longer use, take some time to sort through those things and list them on sites such as Amazon or eBay, or even hold a garage sale. You can make your invoices online to help you manage your sales.
Get Paid To Drive For Uber & Lyft
Your income is available for cashout up to 5 times each day via Instant Pay. This allows you to pay for your gas expenses immediately and at the same time continue making more money.
Babysit Or Walk Dogs
Provide babysitting services during less common hours such as early mornings, events, or weekends so parents can enjoy their date night. You might be able to gain more clients during these times since most daycares are closed.
Recycle Or Sell Your Trash
If you need some quick cash and have a bunch of garbage, try selling it. If that doesn’t work, take those to a recycling center where they’ll exchange what you’ve got for credits, then you can spend the credits on other items that you may find useful.
Get A Loan
You might be able to get a small loan from friends or family if they are willing. If not, consider borrowing from private lenders. Just make sure it’s a decent rate, and you’re not borrowing more than what you can reasonably pay back.
You might also be able to get a loan from small business lenders or even employers if they offer benefits like on-the-job loans, educational assistance for their employees, or other perks.
In the end, there are still several ways to make money even though you’re broke. The key is doing your research, finding out what works best for you, and having the grit and perseverance to get through your situation.