It happens to all of us at some time or another. You are moving through life and right when you finally feel that you’ve got a hold on your finances, BOOM! There’s a big unexpected expense. Maybe you car quit on you. Maybe you were downsized. Whatever it is, you are in what-am-I-going-to-do-now mode.
In an ideal world, you would have an emergency fund to pull from. But, what if your emergency fund isn’t big enough, or doesn’t exist?
How do you get through this financial set back?
Here are 3 tips to help you navigate a financial disaster.
1. Keep calm.
I know this is easier said than done, but learning to be calm in these situations makes everyone's lives much better. I use to freak out whenever we would have an unexpected expense. My husband once said he doesn’t even like to tell me because I react so badly.
That was an eye opener for me. I didn’t even realize that my anger or frustration of the situation was directly affecting my husband. It took some time but I now handle these situations much better. We now have conversations, not arguments, when things pop up.
The last you need to do is to argue over something unexpected. Remind yourself to relax so you can calmly deal with the situation.
2. Stay positive and proactive.
When there’s a will, there's a way. It may not always be pleasant but you can figure it out. Keep telling yourself that you can figure it out. My husband came home from work one day and after 16 years of being paid weekly, his company switched to paying biweekly.
Now this might not seem like a big deal, but in my world it was. Our bills and payments were all set up to be paid weekly. Plus the first pay would have us not receiving a paycheck at all for one week and the change started just after the Christmas break, meaning the first pay would be really small. It took me over 2 hours to figure out.
Your attitude can make or break any situation. Tell yourself you will figure this out until you actually figure it out.
There is always a solution. Just keep looking until you find it.
3. Plan your comeback.
Remind yourself that this is temporary. Nothing lasts forever and while the big setback might feel like it will take forever to recover from, you can recover.
You need a plan to get back on track.
You might not know the answer right away, and that's OK. Keep asking yourself the question and you will figure it out. Be determined to get back on track.
Let nothing get in your way.
Having a financial disaster surprise you in life is never fun, but learning how to navigate it can make your life much more enjoyable.
Eventually, you’ll have an emergency fund to cover these situations, and then your strategy will be to rebuild the emergency fund as quickly as possible.
Always remember you are in control and that no matter what life throws at you, you will figure it out.