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While we do not want to appear materialistic, it is a fact that the lack of money oftentimes drive couples to a fight. In fact, one of the most common reasons for marital fights involve finances. And we all know we do not fight about abundance of money. Usually, financial related fights stem from the lack of it.
According to an article from CNN.com, the US poverty rate is already at a decline but it is still a high rate. In 2013, it was reported to be at 14.5% - a slight decline from the 15% rate in 2012. This is still higher than the pre-recession days of 12.3% in 2006.
The reason for this decline is the fact that people are now finding full-time work. However, thanks to the inflation rate and the higher cost of health care, this is not really making a difference for most people. There are still a lot of people that are living from paycheck to paycheck. If you want to improve your financial situation and get out of a low income household, you need to do more than that. You need to find a way to find extra money to propel yourself forward to a better financial position.
But before you can do that, you need to find the motivation to make the sacrifices necessary to reach your goal. And here is where it might become a bit confusing. In order for you to find motivation that will last you until you reach your goal, you need to put yourself in a happy disposition.
The reason for it is for you to be able to set the right goals and change the habits that will make you happy with what you are trying to reach. Take note that finding happiness is more than just getting more money. It is about teaching yourself to value what is important and be content with what is necessary.
4 ways to live a happy life despite poverty
That last part can be quite a challenge because it is hard to find happiness when you can barely give your children what they want. When you are constantly worrying about paying the bills, it is tough to say that you are feeling light and happy about your current predicament. So what can you do?
The key is to determine the simple truths that will help you find financial happiness. Here are 4 tips that might help you get started.
- Concentrate on the experience rather than your possessions. Not that we are saying that you do not need material things. We all need them. But, you need to learn how to concentrate on the experience that you will get from the materials - rather than from the mere satisfaction of owning something new. A study published on Colorado.edu, authored by Leaf Van Boven, said that focusing on the experience will help consumers get more positive memories about their lives. Happy memories are more evident when you have the experience in mind. It is also stated that it will help you foster better social relationships. That is because the experience is mostly associated with something that happened to you and those around you - whether directly or indirectly connected or not. So concentrate on having meals together - regardless of what is put on the table. Concentrate on enjoying cost-free weekends with the family - as long as you are together.
- Have goals and monitor their progress. The next thing that you can do is to have a goal. A goal is something that will give your life direction. It will give you a reason to get up every morning regardless of the situation that you are in. It is one way to help you proactively motivate yourself further. Make sure that your goal is realistic. Big or small, it has to be well defined and something that you schedule to achieve sometime in your life. This will make it more tangible. As you track your progress, do not concentrate on how little you have. Instead, focus on being thankful that you are able to contribute anything to it at all. Even if the going is slow, at least there is progress.
- Be close to people with the same situation as you. We mean surrounding yourself with friends coming from low income households too. This is to have someone to talk to and understand what you are going through. You can cheer each other up, find support during trying times and you cannot judge each other because you all going through the same thing. Not only that, you can find things to do together with the same budget. You do not have to work too hard to impress people because they know where you are coming from.
- Change your mindset. Finally, you want to change your mindset about a low income household. It is not the end of the world. Granted that it is tougher compared to those who have more financial abundance. However, you both have something in common - you can both decide to take control of your finances. You need to accept that you have limited choices and instead of giving up, you take that as a challenge. Start by focusing on what you have accomplished despite your lack of finances. That should help make you feel better about your life.
Happiness, if you ask anyone, is actually just a state of mind. If you are willing to put yourself in a happy position, you do not need a huge amount of money to gain that.
How to level up from a low income home
Despite your pursuit of happiness despite coming from a low income household, you need to make sure that you will still strive to make things better for you and your family. You want your kids to have the opportunities that were limited to you because of your financial state.
An article from HuffingtonPost.com revealed that poverty is still quite high in the US. 14.5% of Americans are living in poverty. That means 1 out of 10 people reading this article might be poverty stricken. The good news is, you can get out of that predicament. Here are some tips that will help you level up from a low income household.
- Live a frugal life. First of all, you have to start living a frugal life. Face the facts that you have limited income. That means you need to prioritize where you will put your money. Live in a smaller home, get rid of the clutter and buy only what is essential. Frugality, when done correctly will give you a new perspective about your life.
- Make sure you have extra money. The reason why you want to live a frugal life is so you can lower your spending so you can have some extra money. This is the money that you need for wealth building. It will help you increase your savings for your emergency fund. It will also allow you to invest some of your money to help it grow. Get that extra money and you should be able to grab opportunities that you never had before.
- Involve the family. Getting out of a low income household will involve everyone in the family. You need to ask everyone to be wise about spending and to find extra money where they can. This is very important. It will keep the load from being too burdensome for you.
Here is a video from Bank of America that will give tips on how you can be smart with your money.