Transitions - Making Ends Meet

First, develop a realistic budget. By doing this you will find out just how much and to whom you owe money. Listed below are some steps to setting up a budget.

• Using the worksheets below, gather all your bills. Go through each of them and record the name of the creditor, the total amount you owe and the amount of any monthly payments.
• List any bills that aren't due monthly, such as car insurance or water bills. Looking through your cheque book or online records will help you to remember these bills.
• Consider all the items you purchase with cheques (food, rent, entertainment, gas, medication, etc.). Review your cheque book for common expenses. Write all these down.
• When you've listed all your bills, compare the amount you owe each month with the amount of income you'll have. Don't be discouraged if you have more in the expense column than in the income column. We'll provide you with some suggestions about how to pay these bills.
• Take a good, hard look at your expenses. Are there obvious places where you can cut corners? How about the number of times you've eaten out in the past month? How many trips to the store resulted in your purchasing only items you absolutely needed? Can you reduce entertainment expenses? It's important to allow yourself some entertainment each week, but it doesn't always have to cost money. Consider items you can cut and items that must remain in your budget.

• Now that you've cut some "fat" out of your expenses, consider what you can truly spend on the bills you have. For example, if you have a credit card bill with a minimum monthly payment of $100, can you pay $50 or $75 each month? Don't worry about the credit card company yet, just put down what you think you can afford to pay. After you've done that, compare the expenses total with the income total. Getting closer?
• Once you have the income and expense columns equal, contact your creditors and explain what's happening. Let them know your intentions to put forth a good-faith effort by continuing payments on these accounts. Making these contacts with creditors can help you to maintain a better credit rating.
• If you want more advice on budgeting during this time, contact local employment service. They can give you valuable information and helpful suggestions

• If you need credit advice, contact a Credit Counseling Service.
• If you owe child support, check your local Family Maintenance Enforcement Program or the nearest Family Justice Institute office for financial assistance.
• Save your receipts, because some job search expenses can be deducted from your income tax.
• If you're receiving Employment Insurance (EI), you're required to report on your tax forms the amount of EI you receive during the filing year. Depending on the amount of other income you earned during the filing year, you may be required to pay income tax on the EI. It's a good idea to contact the Tax Office or other tax professionals when estimating the amount you may need to put aside for payment of this tax. You can choose to have taxes withheld from your EI benefits.

• Use public transportation, Rideshare or carpool.
• Find low-cost auto repairs. Some technical colleges do auto repairs at reduced prices.
• Have a garage sale.
• Rent out an extra room.
• Sell the adult toys (boat, jet ski, snowmobile, cabin).
• Sell collections or the extra car.
• Make gifts instead of buying them

• Work odd jobs, take part-time or temporary work or become an independent contractor.
• Teach your skills at community education centres or to other local groups.
• Sell your arts and crafts.
• For recent graduates, get a deferment on school loans until you find a job.
• Shop at discount stores and thrift shops.
• Go to the dollar movies, rent movies or borrow them from the public library.

• Use discount coupons or share services like babysitting, repairs, typing or rides.
• Check your investments and insurance policies.
  • You may be over-insured or can increase your deductible.
  • Your credit cards may have a clause that allows for payment of your minimum monthly balance while you're unemployed.
• Attend concerts, museums and art galleries on reduced price days.

Now that you've looked at your budget, consider what you need to keep and what has to go. Most of us think about eliminating entertainment and hobbies when money gets tight. This may not be a good idea. You may need to keep activities that provide a release from tension and stress. For example, now may not be the time to give up your health club membership. Working out is one way to reduce stress and maintain a positive outlook. Looking your very best as you're seeking employment may require keeping your appointment with the hair stylist/barber. Staying in touch with coworkers and friends is an excellent way to network during this time. Perhaps you will want to continue having lunch with them occasionally.

List the activities in your life that provide relief from stress, help maintain a good self-image, enable you to continue communicating with people, etc. Then decide if the activity is one you can keep in your schedule -- or not.

Affirmations can help you obtain your goals and dreams. Repeating positive statements about yourself will help you stay focused, motivated, and create ways to achieve your goals. If you repeat them out loud several times a day, you will believe them and avoid falling into negative self-talk and

• I am in charge of my own life and fully able to change
• I am talented and capable
• I am capable of meeting any challenge
• I repeat affirmations daily to stay motivated and achieve my goals
• I am happy, healthy and calm
• I am full of enthusiasm and vitality
• I am proud of myself because . . .

• I am learning not to blame
• I set goals in every area of my life and review them daily
• I focus on my strengths, accomplishments and goals
• I succeed by making the most of my time
• I am taking control of my thoughts and my life
• I choose the way I respond to outside events

• I take action that will improve my self-image
• I have a clear mental picture of my goals and ideals
• I am relaxed, confident and creative
• I am successful in my job search because I believe in myself and my goals
• Every day, in every way, I am getting closer to my goals

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