Topic: How do you manage your finances and family if your income is low range? - page 4. (Read 1772 times)

If you look the way a country is run it is run based on budgeting everything is planned out according to budget signed to aviod mismanagement of resources of the country, and that is how our personal life is suppose to be, everything supposed to planned out just that the challenge is that the economy is fucked up and things are getting really expensive, so if you really want to do savings you have to really discomfort your self and reduce a lot of things.

You have to restrict something if you really want to archive this, in other to reduce the way you spend if not, spending its something very difficult to put under management.

That's much better and prioritizing basic rules to meet needs is the best way so that can manage our limited finances. When people are unable to provide a balance between expenses and income then there is no way for them to manage everything well. The list that is loaded must be adjusted as much as possible to the amount of income we earn, for example preparing food needs by buying ingredients for cooking, monthly bills such as electricity and PDAM water and saving fuel only to be used when going to work.

Sometimes different incomes will result in unequal expenses, as in some of the examples we have experienced and the greater the income we earn, the greater the expenses we need. It depends on our ability to manage finances and if we don't have the ability to manage then don't expect this problem to be resolved.

On the other hand I would add:
- set higher goals, for example, for the standard of living - your own business or a stable passive income, a nice apartment in a good neighborhood of a good city, a nice car, good travel around the world, delicious food, ... and all this not "later when you get it", but now, maximum - "tomorrow"
- buy quality things (they are definitely more expensive than consumer goods)
- socialize with those who are more successful than you
- don't socialize with those who are degraded or have down-to-earth interests.

This is all to what? To the fact that a person should always strive for better, more convenient, quality, comfortable, .... A person should not live his whole life for the sake of one goal, sacrificing everything else, while there is no guarantee that he will live to realize this dream, and the whole life will pass in total economy, and lack of satisfaction from life ...

For me, a very good example was the situation with the collapse of the USSR, when most of the 250 million people lived virtually for one goal - that the state gave an apartment. And for the sake of this they were ready to live all their lives in conditions that differed greatly, and for the worse, from the inhabitants of the free western world, small wages, small pensions, shortage of absolutely everything, lack of the right to choose and the possibility of choice.... But suddenly, when you retire, you get an apartment?!  Some people waited for it. Minimal, primitive apartments, in houses made "under copying", with miserable planning and equipment.  But the whole life passed so - that there is nothing to remember !
And some, the most nimble, somewhere found a job and put aside money. To "buy an apartment on retirement". Then there was a monetary reform and all their savings turned to dust..... 

Bottom line - don't get hung up on saving money. It is necessary to consume logically, to develop, to strive for the best!

As a basic rule of thumb, always prioritize needs > wants.

Just consider giving these a balance if the salary is well enough to cover these. List all the required things under priorities such as; food, monthly bills, daily allowance, transportation (or gas consumption if having an own vehicle), and many more. Break down all the spending here and from there, the adjustment phase will be the next.

We do have a different financial situation that's why only us knows what would be the best financial plan we should follow.

Great calculations and experience there. These small things certainly add up to the total budget getting out of its actual proportions, and someone who wants to save money will definitely need to make sure that even if they are able to save $2 a week by changing their purchases a little bit, they should go for it, as long as they are still getting the same thing in the same quantity but just in a lesser price, they shouldn't really have any problems.

If I know that I usually buy a product that I use every single day, and if I buy that product in bulk instead of buying once every day and I get to save a few bucks on it, I will definitely go for that because why not? I'm still getting the same thing just maybe in different packaging and stuff and saving some money with it.

Yes, it is true that with a limited income, of course, you have to reduce excessive lifestyle, seen with the current lifestyle that is rising with branded goods will certainly drain income. Many people today prioritize a luxurious lifestyle by buying high-priced items whether it's gadgets, clothes, vehicles. If they have a sufficient income, it is not a problem, but what I am afraid of is that they have a limited income but force their lifestyle with the aim of fulfilling the current trendy style.

It may be true that they will get into debt by prioritizing a luxurious lifestyle, but if they have a limited income but can follow a luxurious lifestyle maybe they are people who can manage their income well so that they can balance their lifestyle and basic daily needs, people like this rarely exist because they have a good mindset in managing their finances. So there is nothing wrong with following the current lifestyle as long as they can manage their income well and not harm themselves.

thats true, cutting expenses just temporary resort for contending against the ever increase price of basic needs.
whats more important is raising income, even though it might be difficult, there's no other way, we all know that sometime salary increase lesser than inflation, meaning out purchasing power get decreasing every year.
to content against that, of course by raising our quality as an individual, learning skill that might bring us to new job opportunities, then increase the income, thats the only way if someone want to find sure way to make sure that their basic needs are filled.

Cutting expense is just the first step but you'll eventually realize that it won't be enough because you also have to cut the lifestyle that you've been living.
Even if your lifestyle is just like frugal just the way you've been doing it, you'll still need to cut more. But for you to maintain that, the best solution is for what you have said and that is to add more source of income.
When you have that, you can allocate for your needs and even for some of your wants.

Of course reducing your lifestyle is something that must be done by every family with a low income, just imagine that currently, the world economy is in an uncertain direction, my country is also not free from that, meanwhile, if your family has a high lifestyle but the financial strength of your family is not able to cover it, your family will be at the extreme poverty line, you will definitely start to incur debt and will not be able to save.  remember, as long as you and your family use the money you have only for food and drink, then you and your family will be able to survive for quite a long time.

You have chosen a very wise and correct path for yourself and also for the sake of your own family, because spending money for daily needs cannot be endured by anyone except for people who do not love their own bodies by continuing to endure hunger and thirst. Family livelihoods will be much easier when the head of the family has sufficient income, so that when you walk and think straight to continue earning additional income in order to avoid experiencing difficulties in your own family, you are truly wise in your way of thinking at this time.

I will just think straight ahead of adding an additional source of income for myself, and this will create in more opportunities for me to be able to meet up with the family and personal needs arising, we cannot say that we should take decision on cutting the expenses made each day because of low income since there are needs that cannot be cut short like daily expenses on feeding, house rent, school fees and many other needs.

Yes, it is better than we just stand around without doing anything and only rely on the salary from our main income which is clearly not able or not enough to support all the needs of our life with our family. And if indeed we have a patch of garden around the house then yes it's a good idea to start farming by planting all plants such as vegetables or anything that can be consumed, obviously the benefits are quite a lot. Besides being able to reduce expenses from your basic needs, you can also avoid the impact of inflation which of course the basic needs will increase but your income is still low.

Honestly, this is a very good solution and will be very beneficial for the individual himself, especially will help them from financial problems in the family, and also especially if in that condition you can find additional work to increase your income, it will be even better.

Talking about needs cannot be separated from how the family is able to finance the family's food, clothing and shelter needs. In this case, we need good planning in managing limited finances, so that small income can be channeled appropriately for these needs. One of them is trying to meet kitchen needs and maybe you can take steps by trying to buy raw materials that are processed at home to eat and if you have empty space in your yard you can grow vegetables for these needs.

When these three things are fulfilled well, our lives will be much more normal because these are basic needs that need to be prepared carefully. The rest when talking about savings and purchasing any assets must be through other programs that are in line with our income, after these needs are met as the first step that needs to be prepared. It is impossible for people to save, buy assets or invest if they have difficulty meeting these basic needs.

The need for budgeting can not be over-emphasized, it saves one from loads of financial mismanagement and unnecessary pressure that goes with it. Budgeting and sticking to it makes you feel like you have more than enough to play around with irrespective of what the economy of your neighbourhood is. It also gives you room to enprovision for savings and investment.

There are options for almost everything that is required to live life, the option you subscribe to is that which your resources can afford according to your class. If you deviate from subscribing to your class-option, its only a matter of time before the pressure associated with mismanagement of funds sets in.

Your advice to use spare time to establish a garden with crops such as tomatoes, chilies, and veggies is a fantastic method to augment income and save food costs. Individuals may handle financial issues more effectively while also protecting the well-being of their families if they adopt these tactics and make prudent spending decisions.

Are you married and how many children do you have? From what you said, it seems very easy to balance life without stress or too much effort. If life is so easy, why are there still billions and billions of people still living in difficulty and poverty? Why are there still millions of people working hard 16-18 hours a day but still not having enough money to make ends meet?...There's a lot for you to explain with what you're saying. But that's life, imagining and speaking will always be easier when we ourselves are in that situation, we will know how difficult it is, and how not easy it is to overcome it.

I guess, you are a lucky person and have got a high-paying job, or you are still in your parents' arms.

I doubt it. Managing expenses and prioritizing essential needs is indeed crucial but it's easier said than done especially for those with limited financial resources. For the poor, the challenge intensifies because despite the common advice of allocating money wisely, the reality is harsher as they are already struggling to make ends meet. Basic necessities like food, education, and utilities often consume almost all of their income. And yes, your idea of utilizing free time and land for cultivation is practical but access to suitable land, resources and knowledge is a barrier for them as well. I am certain that breaking the cycle of poverty requires more than just budgeting because it demands systemic changes, improved access to education, healthcare and opportunities for sustainable income. While it is common to say just manage your expenses, how to actually do it depends on one's economic circumstances. This may be too much but in our country, we have a lot to demand first from our government but that doesnt leave the people to be lazy.

But personally, as someone who is privileged enough to look for work, I just add another source of income to sustain my additional wants. I mean I try not to limit my lifestyle to the income I have, rather, I find more resources so I can sustain the lifestyle that I want.

That's true, although there already are indoor gardening systems (or hydroponic systems) on the market which could be used even if you live in a flat in a middle of a city. They're often pretty costly and won't produce as much food as a proper garden would.
Another option for city dwellers would be renting an allotment, a small piece of land usually just outside of a town in a dedicated area made especially for that purpose.


Mass food producers are focused on profit, which encourages them to use all kinds of pesticides or even genetically modified seeds to grow fruits and vegs that are big, resistant to pathogens, and that have longer shelf life. All that comes at the price of them often being watery, tasteless and lacking the nutrition that homegrown food has.
All in all, quality food is the last place you should be looking for savings.

I understand that it is not that easy, but there is nothing wrong with trying to be able to develop, the risk is certainly there but if it is accompanied by a strong belief it might be successful, it all depends on the mindset of each, even though their income is limited but if they can manage it very well about all expenses maybe they can balance everything well, for sure it also depends on their income, if it is not possible then whatever the opportunity will definitely not be that easy to do.

Competing certainly has its own risks, but there is nothing wrong with trying the solution you said by increasing human resources with patience and consistency maybe it can make progress. But it depends on those who have their own intentions and their own choices.

Yes, by reducing unnecessary or not very important spending habits this will help a mediocre income to be a little more economical, so they can set aside to save or invest, but this needs perseverance or needs to be used so that it doesn't burden it, because any habit will be difficult if you want to reduce it or even eliminate it. The mindset that must be changed if they have limited income is still wasteful and cannot manage expenses.

It's not actually applicable to people that are living in urban areas, where they don't have their own yard to start their own garden. Plus having a garden is not that easy as it may sound, not only for the environment that could affect the growing process of the plants, but also the weather, it would depends on the weather if you will have a good harvest,  which most of the farmers experienced. That not only some people has been affected, but also the economy and agriculture sector of a country.

And I with that time you would spend in building your own garden, you can already find jobs and other money sources that are well paying. I actually prefer to buy vegetable goods in supermarket, and choose the cheaper one, cause those fruits and vegetables went process in checking the quality and to be preserved longer. Still fresh picked or home-grown is literally the best quality.