Financial Plateaus

When I quit my job a dozen years ago to become a stay-at-home mother, I made it my personal mission to learn about money and financial matters. Although tracking expenses, saving for emergencies, and living within our means hasn't always been fun, I can truly say it has given us peace of mind.




Experts claim we've been out of the recession for eighteen months, yet many people are still struggling. Have any of these scenarios stopped your finances from working for you?

Did you stop contributing to a retirement fund?
Do you own a house you can't afford?
Are you one of many who are unemployed?
Has your household income fell, maybe significantly from before the financial crisis?

These questions can halt the staunchest saver. However, doing nothing won't get you off the plateau.

Saving for retirement is confusing. Even the experts get it wrong. Start reading articles about investment options in magazines such as Forbes, Money, Kiplingers and eventually you'll have a basic understanding of possible retirement plans that are right for you. In the meantime, you can always contribute to an FDIC insured account until you're ready to make decisions.

If you own a house you can't afford, research your options. Is there a government program designed to help you? Is your region a good rental area? Could you rent out your home and move into something less expensive? Could you sell your house for a loss? Talk to local real estate agents for advice.

If you or your spouse is unemployed, check with your state about benefit extensions. Also, the holidays are coming up and many local businesses hire part-time help. Any money coming in is better than none. If you're receiving unemployment, any part-time pay could affect it--research the effects before you accept a part-time job.

If your income has fallen, have you adjusted your spending? Are you experiencing too much month, not enough money? Be ruthless about your spending. Tell yourself it's temporary. Cut cable, ditch your expensive cell phone for a pay-as-you-go one, cook simple meals, borrow DVD's from your library, and try hard not to look at this as deprivation. Remind yourself you are spending less to avoid debt, to stay in your house, to pay for your kids' piano lessons, or whatever else is important to you.

The most effective way to get off a financial plateau, though, is to pray. God will provide. He might not provide exactly the way you want or expect, but open your eyes and you'll see His amazing gifts.

When times are turbulent, it's difficult to plan our finances, but even small steps can get us off a financial plateau and on our way to a healthy financial future.

Join me on Friday when we discuss style plateaus.

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