Everybody LOVES December! It’s the time of the year where we reward ourselves for all of our hard work. The only problem is that we seem to pay for the decisions we make in December in January. This means that as soon as the new year comes around, we’re strapped for cash.
So, to make sure January doesn’t feel like the longest month of the year, here’s what you need to do:
Assess the holiday damage
This may be a painful exercise but it has to be done right away. Take a look at your bank statements to see how much you’ve spent over the holidays. Once you have an idea of what your finances look like, you can take steps to rectify any overspending.
Take control of your finances now
Now is the best time to take control of your finances. January may seem like a very stressful month – you’ve overspent over the festive season and now you’re faced with daunting expenses, like school fees. Although it may seem overwhelming, you need to make some tough financial decisions early in the year so that you can get ahead of your finances again.
You will need to list all of your upcoming financial responsibilities and decide how you’re going to cover them without taking out any extra debt. Taking out extra debt to cover your expenses will lead to more financial stress in the long run.
Stop all unnecessary spending right away. This means no clothes shopping, no takeaway meals and no extra takeaway coffees. You’ll need to be financially savvy – you can use your reward points from store franchises, eBucks and any gift cards.
Don’t go into debt
It is very tempting to take out a loan or swipe your credit card, especially after a very expensive holiday season; however, you should not add to your current debt. Rather adapt your standard of living so that you can afford all your current expenses. Make a choice to change your habits so that you can pay off your debt. Speak to a debt counsellor
Debt Rescue can help you take care of your finances this “Janu-worry”. If you are struggling to pay off your debt, fill in the contact form on our website and we’ll get back to you.