There’s no doubt that financial issues can lead to a lot of stress in our lives. Repeatedly thinking about how you’re going to pay your bills not only makes you anxious, but also puts stress on your relationships, your family, and your health. The fact is, stressing over money isn’t going to cure your financial challenges. If you’ve found yourself in a situation where you’re battling to make ends meet, here are the best ways to resolve your financial troubles so you can live a worry-free life again.


List your monthly costs

The first step in overcoming your financial problems is find out exactly where your pain points are. Whether you’re dealing with a large credit card balance, you’re trying to boost your retirement savings, or you just spend too much on eating out during the week, recognising the main causes of your financial woes will reveal to you which expenses should be prioritised so you can get your finances back on course. Get a pen and paper and jot down your current monthly costs including bills, debt repayments, food, tuition, transport, and any other items you generally spend every month.


Cut down on your expenditures

Once you’ve got your monthly expenses in front of you, take a closer look and see which expenses can be minimised and which can be cut out altogether. Even though your mortgage repayments certainly can’t be lowered, you can possibly decrease your food bill by only eating at home and even do away with other entertainment expenses such as cable television. It’s pivotal that you are pragmatic about cutting down your expenses. Don’t forget, if you’re trying to overcome financial complications then you must make sacrifices to resolve them.


Create a budget

Now that you’ve got your monthly costs jotted down without the unnecessary spending, you have to create a budget. If you’re unfamiliar with making a budget, there are plenty of wonderful apps you can download on your smartphone. Personally, I’ve found the Budget Planning app from ASIC to be very reliable:


This will enable you to establish how much money you have left each month by examining your income and expenses. It’s crucial that you stick your budget. If you feel that it could be difficult to do this, add a miscellaneous item to your budget to give you some room to breathe, or perhaps a motivation item to reward yourself at the end of the month for following your budget.


Prioritise your debts

Some debts cause more pain than others, so to alleviate your financial stress as best as possible, try to decrease your largest debts first. Not only will you be saving money by paying less interest, you’ll also feel much better about yourself. Only paying the minimum repayments on your credit card bill can sometimes take years to pay off, so attempt to lower these types of debts as quickly as possible. Always remember, you still have other fixed debts every month like phone bills and electricity, so these need to be factored in too.


Still feeling the heat?

If you’ve cut back on your expenses and made a budget but still find that there’s not enough money to repay all your debts, you’ll have to find other income streams. Are you able to work a second job? Can you sell any high priced household items that you can do without? Reaching out to family or friends is another helpful way to try to address your troubles. Whatever you do to get additional money, never get a personal loan from the bank to pay off your existing debt – this will only intensify an already stressful situation.


Seek financial assistance

If the above steps haven’t relieved your financial stress, it’s better to seek financial guidance sooner instead of later. Depending on your individual circumstances, there are lots of solutions available like debt consolidation loans or debt agreements which can assist those in need. Don’t wrestle with your debts for years before seeking assistance, phone Bankruptcy Wagga Wagga on 1300 818 575 or visit our website for further information: