WWKD,
So Kim, if I come up short $500.00 each month on my quickie budget…and I have a small draw that does not cover my bills AND I will not sell my house in this down economy and lose my equity situation what do you suggest? I would like someone to look at my budget and, give me personal advice on what I can trim. I am at a loss to find anything.
Signed: At a loss
Dear At a loss,
Coming up short $500 each month is a lot of money. I have to admit, from your question I do need a bit more information to be able to provide you a real solid answer but I can provide some general suggestions.
By stating you are taking a “small draw” I assume you are self-employed or a free agent which is a fantastic way of life but it does take a lot of work. Not knowing the field that you are in, is it possible to increase some marketing to bring in more business to increase your monthly income. That would be my first recommendation.
Second, when one is self-employed sometimes it is necessary to take up a second job during the lean times. True, this is never a preferred method, but it would be pretty easy to bring in enough from a second job to cover the $500 difference.
I realize you don’t want to sell your home due to the down market but I would encourage you to look at all options, consider if you have too much home for your income. Yes, this is a tough thing to consider, but if you are not making your mortgage, it is better to start a selling process now before you possibly get into a foreclosure situation. If you are keeping your mortgage current, that is great, but I would still re-evaluate if you have too much home for your income.
Yes, I would agree it may be a good idea to have someone take a look at your budget. We do offer a one-time budget review which can be found on Our Services page.
