Half of America blow the budget on Christmas every year, and a full-on 86% of them are looking for a way to decrease the debt they took on to do that. I’m going to tell you in a few minutes how you can FIX your credit score, but before I go there… I want to share a secret you may not have access to anywhere else.
If you blew your budget on Christmas, you may believe you’re entitled to better things. And the truth is… You ARE! But it may take some good strong decisions to provide those better things. You can make better financial choices, and by next year at Christmas shopping time, be better able to afford those better things. In fact, if you’re serious about fixing your credit score, I recommend starting that process with some well founded goals and decisions.
Did you blow the budget?
Let’s go over some of those…
First of all, before you get into paying down all that debt, let’s take care of you first. Put some cash back in your pocket in case of an emergency. This is a hard learned experience that can become a crisis really fast, if you don’t have a backup emergency fund. Let’s start with $20 and put that where you can always get to it, but know that you’re not going to touch it for any reason, until that $20 stash is at least $2,000.
Need dinner tonight? No. Peanut butter is in the cabinet, eat that. Don’t touch your $20 Emergency fund.
Every time you get more money in, add something to your emergency fund. Even if it’s just a Dollar at a time. ADD to the Emergency Fund.
When you have an emergency fund, you won’t need to blow the budget.
Now that we’ve got that settled, let’s figure out how you can increase your income to create a better emergency cushion, and more income to pay down those debts. And maybe not blow the budget?
Increase the Income Portion of Your Budget.
When the bills are 135% of the budget, you’re going to need a bigger budget. You’re not government, you can’t borrow your way out of debt, so you’ll have to increase your income.
78% of people who start a side business from home to help pay off their debt find themselves making more money from the side business, and eventually leaving their day job to run their home based business. Once you’re a business owner, you’ll never want to go back to working for the other guy. This is a reality.
The functional aspects of running a side business to grow the income portion of your budget is a dynamic that includes increasing your overall personal wealth and improve your lifestyle. The choice is yours. What kind of side business are you willing to operate on a part time basis to get your family out of debt, off the poverty line, and back into the lives you loved?
List Your Skills & Abilities
Start off by listing your skills and abilities on a piece of paper, and don’t leave anything out. Some of the most basic skills can be put to use in a business to transform your life, grow your wealth, and improve your living conditions.
I have a good friend and client whose skill list revealed that she loves to make pot holders, and she’s good at it. In discussing business options for her, I asked how she made her pot holders. She gave me a good description of her creative flare. Then, next time she visited me, she brought with her a collection of patchwork pot holders. We took pictures of the pot holders and I listed them on a craft showcase site. I often share my work along with the work of others there. Within a few hours, we were getting “orders” for those incredibly CUTE pot holders. By nightfall, she’d left and I’d received more than 30 orders for pot holders including one wholesale order for 20 sets. I called her the next morning to ask how fast she could make 20 sets of “patchwork pot holders” for our wholesale client.
Three weeks later, she had a business plan put together. Her model included pricing schedules, and product created and ready to sell. Her potholder making skill became a business where she got to spend hours doing what she loved to do, splicing together fabric into cushy squares, bound and tagged as pot holders. She’s now expanded her business to include those cute little quilt topped finger towels, placemats, and valances for kitchens, in coordinating patchwork styles. Her “sewing club” now spend three to four days a week making readymades, and a few hours or more of their time together, filling specific orders.
Any skill you have can be the foundation of a growing, profitable business, if marketed to the right audience. Are you marketing to the right audience?
Find a Problem to Solve Using Your Abilities & Skills
Once you’ve located people with a problem, and solved the problem using your abilities and skills, you have the means to make money. Offer your services at a viable price. This is a business model that works, every time. And this business model won’t blow the budget.
Now about that credit score…
If you’re starting out the new year with a credit score that struggles to look appealing to any lender, you might need to focus on fixing that puppy. You knew you were going to blow the budget. But it’s okay, we have a plan.
Solve the credit score issue with HT Credit Solution. The key to fixing your credit score is having a plan that will not only fix it, but maintain a better score long-term. You need to solve the problem, which requires a bit more skill than just “fixing the score” for the short term activity of purchasing on credit. HT Credit Solution will fix it. And then you’ll be able to maintain it.
Everyone knows the quick and easy fix for your credit issue will take more than a couple of days. But the reality is, you have the option to fix your credit score and develop better spending habits. Those will ultimately solve your long range credit problems. And you won’t blow the budget, again.
Rob Ludwig offers personal credit consulting, or access to his full on credit repair solution and a plan to help you start living in the green. Stop living in the RED. Contact Rob Ludwig today for more information about how you can fix your financial blunders.
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