How to Rebuild your Life on a Fixed Income

If you become a part of a poor neighbourhood or visit them periodically throughout your life, you can't help but notice is how terribly most poor folk tend to budget! Everyone is all smiles, happy, partying, and barbecue the first week and then wandering bleakly through the rest of the month like the walking dead. Unexpectedly, something might occur that devastates your entire set and setting and puts you on a par with the poor—a fire, a natural disaster, a breakup with someone who then steals your creature comforts. It happens to us all at some point, and you have no choice but to pick yourself up and push yourself, step-by-step to get your life back on track and pick yourself up when such travesty tears your life apart.


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    Make a list. Ensure you set realistic, doable goals about getting new stuff.This will help to guide you and set some goals to steer yourself back to where you want to be. Whilst things are bleak it helps to remain positive and a structured sets of goals and hopes will help you to avoid post-disaster blues.
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    Take care of business first. If you still have a place, make sure the rent and bills are cared for first. Now, remember that list?
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    Target the critical items and make sure you fill one or two of these each month or two. Let us say you have lost absolutely everything. But you only get paid once a month! This means you may have to pick only one or two big purchases for each month. Make sure to put the things you need immediately in the first couple of slots on your list. Can't stand laying on the floor? Make 'bed' this month's purchase. Or you're in the middle of nowhere? Make 'used car' purchase #1.
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    Buy whatever else floats your boat the rest of the month. Only when the target items are safely in your possession, splurge on fancier foods, cigs, beer, whatever it is that broke you out.—Now is the time you can purchase that. It is best to try to hold on to some cash for basic needs like regular food and TP, but do what ya do.—It'll be alright.
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    Keep to this list every month. Pay your bills first, buy one big piece of getting-your-life back together next, and then you can relax and party.
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    Fight hard to get the best deals when you buy your one big thing each month. Bargain hunt. If someone is selling a good used one, snag it. You can check craigslist, yard sales, local thrift stores.—These will all help you get the best bang for your buck.
    • If you are in a college town you may even find after semesters that students will just chuck out their furniture. If you can obtain item #1 for cheap or free, you may even be able to purchase item #2 in the same month if you want. Take advantage of people who dump couches outside their houses, or old cabinets. Most of these items are usually not damaged beyond repair, so refurbish them and give them (and you) a second life.
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    Stay with it each month without fail. If you use this method you should be back on your feet, living comfortably in as little as a year, maybe a year and a half. Don't beat yourself up, though, if you drop off the train one month.—Just get back on and go down the tracks.
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    Ditch the 'friends' who drag you down. Get rid of those who: insult you, make you doubt yourself, use sticky fingers, ask for too many loans, or influence you to to do anything you want to get away from, e.g., drinking too much, buying/selling drugs, stealing etc. Just move them out of your life whatever way you can. Do it sooner. You'll make better friends eventually.—No worries!


  • Consider using the list method after your life is sane again to set new goals for yourself. Rather than partying your money away once you are comfortable, make lists of things you want to better yourself, and purchase those next,—e.g, a good suit of interview clothes, some college courses,—any life improvers. Save the flash and partying for last. Get on with building your life. Do a bit to get your life stable before you let loose, as you may regret it when you blow all your bill money on the drinks at last weekend's party.
  • Do not use Rent-a-Center, Fingerhut, or similar layaway sites. In the end, with the interest, they will often charge you twice as much as that item is actually worth (or more). If it is a piece of electronics, you may find by the time you have paid it off, it is now obsolete!
  • Never lose hope. Aim high. It is true that it is very difficult to get out of such a circumstance, but if you keep your bills paid and seem to be a reliable renter, you may sooner or later get offered a line of credit. Don't go crazy with that, either! Buy one thing at a time and keep your payments regular! The tool you need to get out of the pits is good credit, used wisely.—Being a conscientious consumer and paying on time will get you there!
  • You can better yourself. Never let anyone tell you otherwise. Even if you have hit rock bottom, you can climb back up to where you were -- and beyond.
  • Try your best to remain as committed to those goals you set for yourself as you were the day. The best part about it is: The more you put into it, the better chance you'll have of surpassing your former lifestyle.


  • There are always naysayers.Don't let yourself be discouraged by them. When others in similar circumstances insist that you're not going to be able to rise, steel yourself with resolve. Buckle down and take heart in how far you have come. Use that as a lever to move forward with your plan. Never forget your plan.

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Categories: Budgeting