How do you manage your finances and family if your income is low range?

[junder]

Involving oneself on taking loans just to meet up ones targets ain't advisable when your income is low because you may run into depression when you've incurred so many debts before you receive your income as you may be confused whether to settle your outstanding debts with your income or using to solve the family's basic needs.

Loans are taken for a variety of reasons. Some people take loans to meet their business goals, which I believe is not a bad thing because if a person's business is doing well, he or she will be able to repay the loan without difficulty. However, some people take loans to meet goals that are not as tangible, especially if they are not invested in ways that will generate income. When someone takes a loan and does not use it in any way, even if it has a good source of income to pay the money back, they will not be happy whenever they plan to repay the money. In fact, a loan is not advisable if the case is worse.

Apart from that, if you don't have another source of income, you can use your free time to work on the empty land around your house, start planting various kinds of plants such as tomatoes, chilies and other vegetables. By having produce from your own garden, you can increase your income and save money on shopping for kitchen needs.

Yes, it is good advice, and it will seriously be a great help if someone doesn't play when they have free time and uses it well for good things. Some people always have free time, but they hardly use it doing good things that will generate them other income. In this hard economy where everything is expensive, especially food items, having a garden with different vegetables will be a great support to the family.

Maybe we are born like that and we are never satisfied with our own income. No matter how much money we earn, we always think of ways to increase our income.

It is the nature of human beings, and I also see it as competition because we want to get what other people get and be ahead of them. If not that, why will a billionaire at 80 still be looking for ways to add more billions of dollars?

If the business they are going to run is productive and profitable, there is certainly nothing wrong with borrowing funds for capital at the beginning, because maybe it is the only way to have your own business. So I also thought about doing it if I wanted to open a business and did not have enough capital to open a business, the attitude of responsibility must also exist when we have borrowed. Because if there is a loan debt we have to pay it off.

Yes, that's right, it's ingrained human nature, everyone wants a big income so that they can meet their main needs and feed the current life, with the intention and effort, someone will be able to succeed in the future. So take advantage of what is available while it can be done well.

[pawel7777]

If the business they are going to run is productive and profitable, there is certainly nothing wrong with borrowing funds for capital at the beginning, because maybe it is the only way to have your own business. So I also thought about doing it if I wanted to open a business and did not have enough capital to open a business, the attitude of responsibility must also exist when we have borrowed. Because if there is a loan debt we have to pay it off.

Depends on the circumstances. It's a completely different situation to risk your personal wealth when you have a family to raise and feed than it is to take risks when you're young and single. In a latter scenario, even if you fail, the worst that can happen is personal bankruptcy, which usually is not as scary as people might think it is (but depends on jurisdiction).
The vast majority of new start-ups fail though, so it's important to be realistic and know when to admit defeat. There's no need to go all-in and pump all the money if the business doesn't work out as planned. Best to learn a lesson and move on.

Yes, that's right, it's ingrained human nature, everyone wants a big income so that they can meet their main needs and feed the current life, with the intention and effort, someone will be able to succeed in the future. So take advantage of what is available while it can be done well.

The primary drive is to have more than others, not to just to meet your actual needs. The funny thing is, most of us would be happier having 5 times less than we currently do, provided all the people around us have even less than we do.

[junder]

If the business they are going to run is productive and profitable, there is certainly nothing wrong with borrowing funds for capital at the beginning, because maybe it is the only way to have your own business. So I also thought about doing it if I wanted to open a business and did not have enough capital to open a business, the attitude of responsibility must also exist when we have borrowed. Because if there is a loan debt we have to pay it off.

Depends on the circumstances. It's a completely different situation to risk your personal wealth when you have a family to raise and feed than it is to take risks when you're young and single. In a latter scenario, even if you fail, the worst that can happen is personal bankruptcy, which usually is not as scary as people might think it is (but depends on jurisdiction).
The vast majority of new start-ups fail though, so it's important to be realistic and know when to admit defeat. There's no need to go all-in and pump all the money if the business doesn't work out as planned. Best to learn a lesson and move on.

Yes, that's right, it's ingrained human nature, everyone wants a big income so that they can meet their main needs and feed the current life, with the intention and effort, someone will be able to succeed in the future. So take advantage of what is available while it can be done well.

The primary drive is to have more than others, not to just to meet your actual needs. The funny thing is, most of us would be happier having 5 times less than we currently do, provided all the people around us have even less than we do.

Do people who run a business and then fail will immediately stop? I personally would not be that easy to stop, failures and risks will certainly exist. My example of opening a business and failing, it is not a reason to stop continuing the existing business, because I myself if I want to open a business, of course, have considered everything that must be faced, including the risks that are vulnerable to making the business fail. It must be prepared and considered at the beginning before opening a business, if they open a business carelessly without considering it first in my opinion it is the same as lying it will only waste time and money that will be used up in vain.

Maybe what you mean is our superiority to others, is that so?
It is a fact that people will have a sense of dissatisfaction and envy when they see other people superior to us. But the mindset of people is different, people who have this mindset should make people who are above them as their own motivation, instead of intending to compete with them. Instead of being like that which will have no end, it is better for them to talk about it well and work together in opening a business, that way maybe they can have a large and profitable business. Of course this will be more beneficial for them while they can work together well.

[pawel7777]

Do people who run a business and then fail will immediately stop? I personally would not be that easy to stop, failures and risks will certainly exist.

Well, oftentimes - yes. At what point do you admit that the venture is a failure? Usually it's when you run out of money and can no longer afford to try to get your business off the ground. Unfortunately, it often comes in pair with personal bankruptcy. And when your bank balance is drained and the bills somehow are not paying themselves, that's when you have to call it a day and look for a safer way of making a living.
"Never give up" is a nice-sounding buzzword, but the reality is harsh - unless you have unlimited resources, you simply can't afford to keep trying over and over again.

That being said, I don't discourage anyone from taking that route. Just don't make decisions fueled by the emotional crap of "following your dreams" and the like. You need to take emotions aside and do a cold calculation of all the risks and benefits.

[blockman]

Maybe we are born like that and we are never satisfied with our own income. No matter how much money we earn, we always think of ways to increase our income.

It is the nature of human beings, and I also see it as competition because we want to get what other people get and be ahead of them.

I agree that is definitely by human nature that we're not content of what we have whether it's with material possessions and with incomes that we earn. The factor also about how life is tough these days want someone to earn more and that's why if you have a low income with your salary, you need to find some better paying job if you can. But if you don't want to leave that job of yours, you need to do extra hard work and use those vacant time of yours to do or find some side hustles.

If not that, why will a billionaire at 80 still be looking for ways to add more billions of dollars?

This make sense but usually these rich folks just used to their routine of working until they're dead.

[serjent05]

Maybe we are born like that and we are never satisfied with our own income. No matter how much money we earn, we always think of ways to increase our income.

It is the nature of human beings, and I also see it as competition because we want to get what other people get and be ahead of them.

I agree that is definitely by human nature that we're not content of what we have whether it's with material possessions and with incomes that we earn. The factor also about how life is tough these days want someone to earn more and that's why if you have a low income with your salary, you need to find some better paying job if you can. But if you don't want to leave that job of yours, you need to do extra hard work and use those vacant time of yours to do or find some side hustles.

In addition we also need to step our strategy in spending our hard-earned money.  This article[1] may give us a wider view how to manage our finances especially if we are in a low-income range.  The artilce stated that we should:

• Track your spending to improve your finances
• Create a realistic monthly budget
• Build up your savings—even if it takes time
• Pay your bills on time every month
• Cut back on recurring charges
• Save up cash to afford big purchases
• Start an investment strategy

If not that, why will a billionaire at 80 still be looking for ways to add more billions of dollars?

This make sense but usually these rich folks just used to their routine of working until they're dead.

The answer for that is either that billionaire is greedy or still want to live on the expectation of others to perform as if he is in prime age.  We never know how the billionaire thinks until we are one.  It makes sense that they are still aiming for profit because they are accustomed to earning huge amount of money so they still do it as long as they have the power to do so.


[1] https://www.fscb.com/blog/7-money-management-tips-to-improve-your-finances

[blockman]

Maybe we are born like that and we are never satisfied with our own income. No matter how much money we earn, we always think of ways to increase our income.

It is the nature of human beings, and I also see it as competition because we want to get what other people get and be ahead of them.

I agree that is definitely by human nature that we're not content of what we have whether it's with material possessions and with incomes that we earn. The factor also about how life is tough these days want someone to earn more and that's why if you have a low income with your salary, you need to find some better paying job if you can. But if you don't want to leave that job of yours, you need to do extra hard work and use those vacant time of yours to do or find some side hustles.

In addition we also need to step our strategy in spending our hard-earned money.  This article[1] may give us a wider view how to manage our finances especially if we are in a low-income range.  The artilce stated that we should:

• Track your spending to improve your finances
• Create a realistic monthly budget
• Build up your savings—even if it takes time
• Pay your bills on time every month
• Cut back on recurring charges
• Save up cash to afford big purchases
• Start an investment strategy

That's true because many employees that are earning very well don't manage to save money because they don't know how to manage their finances. That's why coming to the point of being a low wager and when you step up as a high earner, you need to step up also your way of managing finances.

If not that, why will a billionaire at 80 still be looking for ways to add more billions of dollars?

This make sense but usually these rich folks just used to their routine of working until they're dead.

The answer for that is either that billionaire is greedy or still want to live on the expectation of others to perform as if he is in prime age.  We never know how the billionaire thinks until we are one.  It makes sense that they are still aiming for profit because they are accustomed to earning huge amount of money so they still do it as long as they have the power to do so.

With my observation for those rich people that have thrived their ways to riches. They just become used to their routine and I think that even they're all set for life, they just want to work as if it is their body's vitamins. That's probably just me or they are just greedy.

[junder]

Do people who run a business and then fail will immediately stop? I personally would not be that easy to stop, failures and risks will certainly exist.

Well, oftentimes - yes. At what point do you admit that the venture is a failure? Usually it's when you run out of money and can no longer afford to try to get your business off the ground. Unfortunately, it often comes in pair with personal bankruptcy. And when your bank balance is drained and the bills somehow are not paying themselves, that's when you have to call it a day and look for a safer way of making a living.
"Never give up" is a nice-sounding buzzword, but the reality is harsh - unless you have unlimited resources, you simply can't afford to keep trying over and over again.

Yes, that's true, but I've said before that preparation should be discussed from the start, maybe some people don't discuss this. But I myself discuss it by preparing everything. If we can't manage our income and expenses well, we might go bankrupt, but I myself run a beverage business with occasional free drinking events, no problem, no loss. In fact, I was able to add a business branch with a more strategic location and a large enough area, of course there are also many customers who visit with comments on the concept of comfort and drinks that go to all groups, be it young people, parents, or children. From the failures that have occurred must be used as lessons so that it does not happen again in the future, I have experienced failure but with strong intentions and high determination until now I can open many business branches. Understand the failures experienced and look for solutions not just felt and left alone with the assumption "maybe in the future it won't be like this again" this is certainly wrong, try if we understand the failure, why it can happen like this and find the best solution there will definitely be a way out. Provided with a really good mindset. People who are successful do they never fail? I'm not sure if they are successful without failure, there must be times when they experience failure and get up.

That being said, I don't discourage anyone from taking that route. Just don't make decisions fueled by the emotional crap of "following your dreams" and the like. You need to take emotions aside and do a cold calculation of all the risks and benefits.

Yes, don't think of business as a small thing. Basically, the business we run will have results in the future. If people who have a business by just following the nonsense like you said, of course this is vulnerable to the loss of the business being run because of the risks involved. I say again, everything must be really prepared. Maybe some people don't mind this, but opening a business with just enough capital and this kind of thinking won't work in the long run. Try if they prepare everything from the beginning. Talking about the risks that will come and finding solutions in advance, it is less likely that the business they run will be lost, this way the business they run will be fine not by making the decision to stop their business when things are bad.
Okay, you said take a short break, that makes sense, but as far as I know people like this range by not continuing their business again on the grounds of unreasonable income, deserted, or whatever. This is probably those who don't manage their income and expenses well. So everything will be fine if it is well prepared. I myself was able to do it without any financial support from other people or my parents.

[AicecreaME]

Involving oneself on taking loans just to meet up ones targets ain't advisable when your income is low because you may run into depression when you've incurred so many debts before you receive your income as you may be confused whether to settle your outstanding debts with your income or using to solve the family's basic needs.

Loans are taken for a variety of reasons. Some people take loans to meet their business goals, which I believe is not a bad thing because if a person's business is doing well, he or she will be able to repay the loan without difficulty. However, some people take loans to meet goals that are not as tangible, especially if they are not invested in ways that will generate income. When someone takes a loan and does not use it in any way, even if it has a good source of income to pay the money back, they will not be happy whenever they plan to repay the money. In fact, a loan is not advisable if the case is worse.

I agree.

Loan is not advisable if you don't have a regular job, because you'll have a hard time paying up your loan in that case, the worst is that is they'll take another load to pay their first loan, and that will just be repeated since they don't have any choice since they don't have a regular job. This kind of scenario is happening always in a third world country, where people are thriving to survive in their everyday lives fighting poverty as much as possible.

[pawel7777]

Okay your money says a short break, that makes sense, but as far as I know people like this range by not continuing their business again on the grounds of unreasonable income, deserted, or whatever. This is probably those who don't manage their income and expenses well. So everything will be fine if it is well prepared. I myself was able to do it without any financial support from other people or my parents.

I agree with most of what you're saying and wish you all the best, but just to add to this part: you shouldn't be assuming that those who got burnt and gave up on the idea of starting their own business must've been unorganized or financially illiterate. Sometimes the wisest thing you can do is to re-evaluate and prioritise your goals and change them if needed. Especially knowing that the most common motivation for being "your own boss" is wealth and independence but in reality, even if successful, you could end up with no free time and instead of being "slave" to your boss, you're even bigger slave to your key customers.
Also, only a small percentage of businesses can be started really small, be profitable and grow organically. Most would require significant amount of funding and start to make a profit after a long while. That's where a lot of ambitious and determined people fall into a trap. When you already invested a lot of your time and money, you see your business growing, so you keep chasing that break-even point no matter what. You're not going to stop immediately after you exhaust your anticipated budget - you'll be looking for more funds at whatever cost, up to the point of bankruptcy if things go bad.

[Rockstarguy]

Involving oneself on taking loans just to meet up ones targets ain't advisable when your income is low because you may run into depression when you've incurred so many debts before you receive your income as you may be confused whether to settle your outstanding debts with your income or using to solve the family's basic needs.

Loans are taken for a variety of reasons. Some people take loans to meet their business goals, which I believe is not a bad thing because if a person's business is doing well, he or she will be able to repay the loan without difficulty. However, some people take loans to meet goals that are not as tangible, especially if they are not invested in ways that will generate income. When someone takes a loan and does not use it in any way, even if it has a good source of income to pay the money back, they will not be happy whenever they plan to repay the money. In fact, a loan is not advisable if the case is worse.

I agree.

Loan is not advisable if you don't have a regular job, because you'll have a hard time paying up your loan in that case, the worst is that is they'll take another load to pay their first loan, and that will just be repeated since they don't have any choice since they don't have a regular job. This kind of scenario is happening always in a third world country, where people are thriving to survive in their everyday lives fighting poverty as much as possible.

Even having a permanent job it is very stressful to collect to pay back , their are other things that money us needed to settle and it can be frustrating when trying to solve other financial issues and still paying loan at the same time. The only time taking a loan can be considered is for business because every business needs money to be pump into strengthen it, so it is not a wrong idea when people take a loan for business. If anyone must think to take a loan it should be something that will yield more profits at the end of the day, but loan for something that doesn't bring value is total waste .

[Tuturtinular]

There are many people around us, where their income is not enough to manage a family how do you manage your family and economy? There are many people who manage their family very well even though their income is very low in their personal life, how do you manage it?

Basically, no matter how much we earn, we will feel less, but when our income is small, it will also be enough to live on. If we have a low income, like it or not we have to live simply and forget about a luxurious and prestigious lifestyle. I live in a tropical country, so if we have a small income, we can take food from gardens and rice fields, we plant vegetables and rice in rice fields so that in bad financial conditions we will be able to survive even though we have to live more simply but we will be able to survive in such conditions

[bettercrypto]

People tend to fit money into what they have, even if their income is modest or insufficient. In actuality, there are items that are truly inadequate and not enough. However, all we can do is incorporate it into our family.

The strategic person is here for that reason. We should also look for ways to make a living that will allow us to provide for our families, if we don't want them to go hungry or cling to what they have. .. It's hard, but we have to fight through it or bear it.

[pawel7777]

The only time taking a loan can be considered is for business because every business needs money to be pump into strengthen it, so it is not a wrong idea when people take a loan for business. If anyone must think to take a loan it should be something that will yield more profits at the end of the day, but loan for something that doesn't bring value is total waste .

There are more examples on when taking a loan is a smart move. The best and the most common one is to take a mortgage loan to buy a house. Especially when mortgage repayments are cheaper than the rent you would be paying otherwise.
But you're essentially correct. "Consumption" loans are always a bad idea. If you can't afford e.g. to save for holidays, then you certainly won't be able to repay a loan taken for that purpose.

[gunhell16]

Involving oneself on taking loans just to meet up ones targets ain't advisable when your income is low because you may run into depression when you've incurred so many debts before you receive your income as you may be confused whether to settle your outstanding debts with your income or using to solve the family's basic needs.

Loans are taken for a variety of reasons. Some people take loans to meet their business goals, which I believe is not a bad thing because if a person's business is doing well, he or she will be able to repay the loan without difficulty. However, some people take loans to meet goals that are not as tangible, especially if they are not invested in ways that will generate income. When someone takes a loan and does not use it in any way, even if it has a good source of income to pay the money back, they will not be happy whenever they plan to repay the money. In fact, a loan is not advisable if the case is worse.

There is nothing wrong with being in debt; the bad thing is not knowing how to repay the debt. Now, if you use a loan for business, that's a good idea, especially if you know how to turn the loaned amount around and you know how to make interest on it, so that when that happens, it may also be the amount you owed, so you can also pay off what you owed.

Because of the profit you will get from the business you will build. So it's okay for me; compared to others, the reasons for borrowing are superficial, except for the emergency reason for borrowing. So I'm fine with what you said, dude.

[Samlucky O]

There are many people around us, where their income is not enough to manage a family how do you manage your family and economy? There are many people who manage their family very well even though their income is very low in their personal life, how do you manage it?

Sincerely speaking life has been so thought for such people. When you aim higher you meet up some certain things in your house hold like living in a nice house, sending your children to nice school and eating 3 square meal a day.

But for those low Income earners, managing a family is always difficult. How they survive is by cutting down their expenses to the lowest.  according to how there name implies. Ranging from sending their children to public school instead of private school, living in a location that is less civilzed so as their rent to be less compeard to those people living in the main city. When buying food you buy in small quantity and give law on how it's going to be consumed. They often leave a life of borrow an pay.

[red4slash]

The only time taking a loan can be considered is for business because every business needs money to be pump into strengthen it, so it is not a wrong idea when people take a loan for business. If anyone must think to take a loan it should be something that will yield more profits at the end of the day, but loan for something that doesn't bring value is total waste .

There are more examples on when taking a loan is a smart move. The best and the most common one is to take a mortgage loan to buy a house. Especially when mortgage repayments are cheaper than the rent you would be paying otherwise.
But you're essentially correct. "Consumption" loans are always a bad idea. If you can't afford e.g. to save for holidays, then you certainly won't be able to repay a loan taken for that purpose.

There is nothing wrong with taking out a loan as long as it is really necessary to be allocated for something very useful. But when the situation is not urgent and it is not required to take out a loan I think it is better not to do it.
I agree with you that taking a loan for consumption is not a wise thing to do. Especially if the consumption we do has no benefit at all.
Taking a loan for something profitable might sound better, like for a business for example. But we must also consider it carefully, because in doing business we also have the risk of losses that we will feel. So consider everything including considering the worst possibilities.

[rangga28]

The only time taking a loan can be considered is for business because every business needs money to be pump into strengthen it, so it is not a wrong idea when people take a loan for business. If anyone must think to take a loan it should be something that will yield more profits at the end of the day, but loan for something that doesn't bring value is total waste .

There are more examples on when taking a loan is a smart move. The best and the most common one is to take a mortgage loan to buy a house. Especially when mortgage repayments are cheaper than the rent you would be paying otherwise.
But you're essentially correct. "Consumption" loans are always a bad idea. If you can't afford e.g. to save for holidays, then you certainly won't be able to repay a loan taken for that purpose.

There is nothing wrong with taking out a loan as long as it is really necessary to be allocated for something very useful. But when the situation is not urgent and it is not required to take out a loan I think it is better not to do it.
I agree with you that taking a loan for consumption is not a wise thing to do. Especially if the consumption we do has no benefit at all.
Taking a loan for something profitable might sound better, like for a business for example. But we must also consider it carefully, because in doing business we also have the risk of losses that we will feel. So consider everything including considering the worst possibilities.

If your financial condition is mediocre, meaning you are only able to cover basic needs, then it is best not to take out a loan. I agree that a loan is necessary as long as our business is running. There is certainly no harm in adding capital to reach a wider business, but you must also understand the risks you will face later. We can certainly learn a lot about how to manage finances well in various articles and I am quite sure that if we understand how to manage finances then the plans we want to achieve will certainly work well too.

[Gozie51]

There are many people around us, where their income is not enough to manage a family how do you manage your family and economy? There are many people who manage their family very well even though their income is very low in their personal life, how do you manage it?

Sincerely speaking life has been so thought for such people. When you aim higher you meet up some certain things in your house hold like living in a nice house, sending your children to nice school and eating 3 square meal a day.

But for those low Income earners, managing a family is always difficult. How they survive is by cutting down their expenses to the lowest.  according to how there name implies. Ranging from sending their children to public school instead of private school, living in a location that is less civilzed so as their rent to be less compeard to those people living in the main city. When buying food you buy in small quantity and give law on how it's going to be consumed. They often leave a life of borrow an pay.

Well running a poor house hold is more of understanding than cutting down on standard of living and majorly it depends on the understanding of the woman in the house to be able to implore ways to manage because despite cutting down expenses, there will still be some needs that will not be touched no matter how you manage to reach to them.

However, women have that managerial skill to be able to implore alternative cheap means to still achieve same result, like instead of using fish to cook, they might alternate it to crayfish yet giving the food same nutritious taste and nutrients needed for the children. They say it is the good woman that keeps the home.

[junder]

Okay your money says a short break, that makes sense, but as far as I know people like this range by not continuing their business again on the grounds of unreasonable income, deserted, or whatever. This is probably those who don't manage their income and expenses well. So everything will be fine if it is well prepared. I myself was able to do it without any financial support from other people or my parents.

I agree with most of what you're saying and wish you all the best, but just to add to this part: you shouldn't be assuming that those who got burnt and gave up on the idea of starting their own business must've been unorganized or financially illiterate. Sometimes the wisest thing you can do is to re-evaluate and prioritise your goals and change them if needed. Especially knowing that the most common motivation for being "your own boss" is wealth and independence but in reality, even if successful, you could end up with no free time and instead of being "slave" to your boss, you're even bigger slave to your key customers.
Also, only a small percentage of businesses can be started really small, be profitable and grow organically. Most would require significant amount of funding and start to make a profit after a long while. That's where a lot of ambitious and determined people fall into a trap. When you already invested a lot of your time and money, you see your business growing, so you keep chasing that break-even point no matter what. You're not going to stop immediately after you exhaust your anticipated budget - you'll be looking for more funds at whatever cost, up to the point of bankruptcy if things go bad.

If the goal is fine and in accordance with what is expected, I don't think it needs to be evaluated or changed. However, if the intended goal is in the opposite direction from what is expected, then it must be evaluated or changed, because goals that are not in accordance with what was planned will become a problem. Because no one wants their business to suffer losses, everyone wants their business to run smoothly and be profitable for them. Because it will make them happy because what they are doing is going well and has a positive impact on them.

But there's nothing wrong with that, even if you start on a small scale, as long as it's profitable, it doesn't matter. Again, having people who want to start a business is not required to start in large numbers, like the saying "little by little, long time becomes a hill" I believe in that saying, with strong determination, even though the business is small, it will grow with those of us who run it well.