You’ve gone through your budget and cut out the fat. But what about the big expenses, like rent, car payments or insurance?
Feeling budget pressure from the bare necessities is enough to make anyone doubt themselves. But here’s the secret: Half the battle of living with a narrow budget is to feel in control of it. Your perception of your finances influences your feelings about them — and your stress can be significantly quieted by following a few easy steps.
Step 1: Name Your Biggest Worries
You can’t face a problem until you identify it. Start by writing down your top 5 most expensive monthly bills. Then, circle the one that causes the most stress. It doesn’t have to be the highest balance — it could be because it’s poorly timed or hard to keep up with.
Identifying your biggest stresses can help you identify your priorities — and shift out of panic mode and into planning mode.
Step 2: Stack, Don’t Spiral
Sometimes, looking at debt can feel like approaching a wall too tall to scale. But the beauty of these sorts of problems is that they’re not one, big thing — they’re a bunch of little pieces that make a whole.
So when thinking of your debt, don’t think about the “wall:” Focus on the individual “bricks.” You don’t have to fix every big bill at once. Instead, pick one to focus on for a month. It’ll make you feel more in control of that debt, and spur you to continue working through the rest. A few ideas to get started:
- Save an extra $25 or $50 just for that bill.
- Break it into smaller payments if possible.
- Call your service provider or creditor and ask questions, even if you’re not ready to make changes.
Step 3: Stop Blaming Yourself
If you’ve been beating yourself up about your bills, take a breath. The truth is, fixed costs like rent and insurance have gone up in many places, and the cost of living has followed suit.
This isn’t just a personal problem. It’s a widespread one. Focus on what you can control, and try identifying the times when shame or stress about debts make you freeze up. Working back into a problem-solving mindset can be an immense comfort, especially when money is tight.
Step 4: Build a “Bill Buffer” (Even If It’s Small)
If your biggest bill always hits at the worst time, try building a buffer. Even if it might not sound like much, even $10 at a time helps. Here’s how to start:
- Set up an automatic transfer of $10–$20 each payday to a small savings account.
- Label it with the bill’s name so you stay focused.
- Use it only to get ahead, not to cover other expenses.
Progress Can Feel So Much Better Than Perfection
Your biggest bills might be around for a while yet, but your mindset can deeply influence how — and when — you pay them off. And remember, the small stuff counts. Track which bill stresses you most, time payments to your paychecks and give yourself space to focus.
And if you’re drowning in personal loan, credit card or medical debt, it might be time to explore debt consolidation. Accredited Debt Relief can help you save 40% or more on eligible monthly payments, and help you get debt-free in as little as 24–48 months.