Article author:
Associated Press
Laura Mcmullen Of Nerdwallet
Inflation is a nightmare for many Americans who are already growing the dollar to cover their basic needs. What if those dollars lose their value?
Their choice is probably not to reduce streaming services or choose store-branded groceries. Instead, they may have to choose between buying enough food or paying rent.
Inflation-hit families usually have little savings or other resources. Phuong Luong, Massachusetts-based certified financial planner and founder of JustWealth, a financial education and consulting firm, said the lack of access to wealth could be rooted in a history of inequality. I am saying.
For example, racist policies may cause a generation of families with low wages or limited places to live. After that, inflation causes everything to be more expensive.
You may need to collect cash to support yourself as well as family and community members. You'll probably have to spend money and time crossing the town to grocery stores and clinics.
“The distance between those who have resources and those who have wealth depends on where they live and who they are,” says Luong. “There is more context than just expenses and budgets.”
Whatever the context that describes the situation, here's how to fight inflation when funds are already tight.
Essential Prioritization
Aim to pay for housing (mortgage or rent), utilities, food and more to help you live safely increase. Also, be sure to pay for work-friendly expenses such as transportation, mobile phones, and childcare.
The next level of priority is tax, child support, insurance, etc., which can have a big impact if you don't pay.
For credit cards, you may need credit access, so aim to pay at least the minimum amount.
TAP LOCAL RESOURCES
If you're having trouble paying your invoice, find support. Luong suggests Findhelp.org. This site lists local programs designed to reduce costs across many categories. Calling
211 or visiting 211.org will also help you find assistance related to housing, health, food and emergency costs.
Make a call
You can also save money by calling credit cards, insurance companies, lenders, banks, mobile phone companies and other payees. I can do it.
Because the pandemic is affecting so many consumers, these companies are "a little more sympathetic than before," said Onyx Advisor Network, a support platform based in Sacramento, California. Emlen Miles-Mattingly, co-founder of. For underrated financial advisors.
For example, you may want to suspend or reduce payments or allow overdue claims. Or they may lower your interest rate.
But you have to ask. Also, customer service calls to patients often produce faster and more effective results than email or online forms.
Connecting with the community
To overcome the economic struggle, "the community will be the main one," said Atlanta-based financial activist The Broke BlackGirlFacebook. Dasha Kennedy, the founder of the community, said.
Leaning and helping family, friends, and neighbors can take many forms. For example, Kennedy points out how housing costs can be reduced by temporarily living with others. Alternatively, you can pool resources by sharing vehicles or splitting large costs.
Look at libraries, religious groups, and recreation centers to connect with supportive locals you haven't met yet. Alternatively, use a virtual platform such as Facebook or Nextdoor.
In these face-to-face and online spaces, you can find free or cheap goods and services. Maybe someone will give out second-hand clothes or walk your dog while you work.
or ask for guidance. For example, your neighbors may direct you to nearby health resources for free or explain what helped you to make money.
Benefits from skills
Of course, making more money can also help. If you are already working, Kennedy recommends that you first try to increase your income through your employer. She says she should consider working overtime or negotiating salary increases or role changes.
Or consider secondary work — be careful. Many online gigs can waste your time, spend money, and misuse your personal information.
"It's time for fraud and fraud," says Kennedy. Trust your gut and read the reviews. Also, check the Federal Trade Commission and Better Business Bureau websites for tips on avoiding fraud.
The most effective way to make money. “Monetize the skills you already have,” says Kennedy. These include everything from cleaning and organizing to writing and design.
Assuming you started without a client, she suggests tapping your community again.
"You may not have time to build trust and reputation, so you will have to rely on personal relationships," she says. Promote and guarantee her friends, neighbors and family.
Pay attention to mental health
Money problems are exhausted. That's why Miles-Mattingly says that he "connects with himself" on a regular basis. Identify why you feel better, such as walking outside, calling a friend, meditating, or reading.
If your time is tight, do your activities quickly and consider Miles-Mattingly points. “When stressed, people lose the best decision-making ability.” And difficult times mean difficult decisions. It's rewarding to feel focused before negotiating a lower bill or agreeing to a side business.
To avoid being overwhelmed during times of financial stress, Kennedy tries not to overthink the unpredictable future. Instead, she suggests "focus on getting through the day."
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This column is for the Associated Press by the personal finance website. Provided. Nerd Wallet. Laura McMullen is a writer for Nerd Wallet. Email: lmcmullenâ † * nardwallet.com. Twitter: â † * lauraemcmullen.
Related links:
NerdWallet: I need help to pay the invoice as soon as possible. Use this quick help toolhttps://bit.ly/nerdwallet-how-not-to-pay-your-bills
Findhelp.org: Search and connect to supporthttps://www.findhelp.org/
211.org: Help starts herehttps://www.211.org/
