Money is a source of stress for just about everyone. It’s one of those facts of life that we all have just come to accept for the most part that money is always going to be something to worry about. But for the most part, it’s usually a pretty good balance between money going out and money coming in. The problem is that sometimes you get those money sinks. You know the ones. The things that just end up being a huge drain on your finances, making life more difficult and stressful in just about every conceivable way. Being able to deal with these financial drains is an incredibly important tool because it prevents them from causing genuine problems in your life. Here are some of the biggest money sinks that you might well have to deal with, and how to prevent them from getting you into financial trouble.
Losing your job
The major issue with losing your job is that life has that annoying tendency to very rudely keep going anyway. Bills still need paying, the kids still need clothes and the car still needs refueling. When you’re out of work, being faced with even the most basic financial responsibility can become the source of major levels of anxiety. The fear of falling into a deep financial hole that you won’t be able to climb out of becomes very real indeed. The best thing that you can do to avoid this situation is to make sure that you’re putting away a little bit of your paycheck every month into a savings account. That means that, if you do end up out of work for any length of time, you have a buffer set-up to protect you from any serious financial harm.
Your car is supposed to be there to make life easier! You’re supposed to be able to get around; it affords you more freedom and independence that you would ever otherwise have and it can even become an extension of your personality. All of that means that when you suddenly have to shell out for a massive auto repair bill, it’s that much more frustrating. Not only are you losing out on money but you could also end up not being able to get to work which is going to cost you even more. Not to mention the inconvenience of being without any form of transport for any length of time can be hugely frustrating all by itself.
Every parent loves their kids; there’s no doubt about that. And they would very likely do just about anything for them. Being a parent is one of the most wonderful and rewarding things that a person could ever do. But good lord if kids aren’t some of the biggest money sinks on the planet! If it’s not clothes that they grow out of within weeks, it’s the newest toy or gadget that they simply have to have! The best thing to do is start saving from the moment you’re expecting. Trust me; you’re going to need that financial cushion.