That’s absolutely true of most money management methods. No way of managing money can turn not enough money into enough; that’s not an individual problem to tackle. My biggest issue with budget culture is that most experts act as if changing the way you manage money will solve that problem.
I do make room in my budget-free approach to consider non-income resources, like debt, charities, and government programs, to help expand what’s available for spending and saving. In some cases, that can make the difference, and in some, there’s still not enough to make ends meet.
This is what I wanted to say too. None of these money management programs teach how to use credit to cover the gap. But that’s the technique my parents taught me. However, if I have a question, there’s no one to ask because the internet literally doesn’t have any articles that address these kinds of questions.
I got a free call with a financial planner once and her only suggestion for dealing with a several thousand dollar gap between my monthly income and expenses was to stop getting haircuts, which cost all of $80 for 2 people for a year. 🙄
I keep getting new cards with 0% APR offers and then use those as a holding pattern for debt. So now I have a bunch of cards. About 8. There’s at least 1 that I don’t ever intend to use again. How do I know when to cancel a card? Is there a specific timing or method to have the least negative impact on my credit.
I don’t really understand how balance transfers work. How do I know if this is a good idea, especially since there’s usually a fee even if it’s a zero APR period (like 12 months)?
Are there strategies for managing credit card debt when you’re still using credit cards (accumulating debt) to be as smart with it as possible? Most articles focus on paying off debt when you’re no longer taking on new debt. I’m curious about strategies for staying afloat and minimizing interest that I might not know.
Love these questions! And yes, imI find it so irritating that debt payoff strategies always assume you’re no longer using credit cards. That’s very Dave Ramsey.
The response that we often hear is "get a job that pays better" (like the jobs available to me are falling off garbage trucks every day) or "cut back on your expenses" (as if the landlord will take less this month so my family can eat cereal). As Dana mentioned, it's often outside an individual person's ability to resolve without some intervention from an agency or organization specializing in that.
The underlying premise of these non-budget approaches seems to be that you actually have money after the fixed expenses are met.
Many people are in a lifeboat and not the fancy pontoon or yacht that a few others are sporting around the sea in.
That’s absolutely true of most money management methods. No way of managing money can turn not enough money into enough; that’s not an individual problem to tackle. My biggest issue with budget culture is that most experts act as if changing the way you manage money will solve that problem.
I do make room in my budget-free approach to consider non-income resources, like debt, charities, and government programs, to help expand what’s available for spending and saving. In some cases, that can make the difference, and in some, there’s still not enough to make ends meet.
This is what I wanted to say too. None of these money management programs teach how to use credit to cover the gap. But that’s the technique my parents taught me. However, if I have a question, there’s no one to ask because the internet literally doesn’t have any articles that address these kinds of questions.
I got a free call with a financial planner once and her only suggestion for dealing with a several thousand dollar gap between my monthly income and expenses was to stop getting haircuts, which cost all of $80 for 2 people for a year. 🙄
I’ll write this article! Credit is an incredibly important resource to use in these cases. What questions do you have?
I keep getting new cards with 0% APR offers and then use those as a holding pattern for debt. So now I have a bunch of cards. About 8. There’s at least 1 that I don’t ever intend to use again. How do I know when to cancel a card? Is there a specific timing or method to have the least negative impact on my credit.
I don’t really understand how balance transfers work. How do I know if this is a good idea, especially since there’s usually a fee even if it’s a zero APR period (like 12 months)?
Are there strategies for managing credit card debt when you’re still using credit cards (accumulating debt) to be as smart with it as possible? Most articles focus on paying off debt when you’re no longer taking on new debt. I’m curious about strategies for staying afloat and minimizing interest that I might not know.
Thank you!
Love these questions! And yes, imI find it so irritating that debt payoff strategies always assume you’re no longer using credit cards. That’s very Dave Ramsey.
Indeed. So then for me I ask, what can we do about the lifeboat problem? We can't save money we don't have or that needs to be committed elsewhere.
The response that we often hear is "get a job that pays better" (like the jobs available to me are falling off garbage trucks every day) or "cut back on your expenses" (as if the landlord will take less this month so my family can eat cereal). As Dana mentioned, it's often outside an individual person's ability to resolve without some intervention from an agency or organization specializing in that.
All true. Of course for people who .are. eg the landlord, maybe they could take less after all.