HOUSTON – We don’t have to tell you the past year has been tough - physically, emotionally and for many financially. But right now may actually be the best time to think about your money and what you are doing with it. We have a few simple steps to help you get more money in 2021.
The board game The Game of Life is about the luck of the spin that determines if you win or lose. Promotions and extra tax refunds make saving money easy. In the real game of life, if you hit a rough spot, there isn’t always a bonus payday to help you out.
“Being homeless I literally lost everything I own,” Sharita Humphrey explains.
Humphrey knows life is no easy street.
“My credit scores plummeted. Everything that you could imagine to happens to your finances, it happened to me,” said Humphrey.
But those hard times didn’t mean bankruptcy. Humphrey got to work. Now as a financial adviser she helps other women do the same.
“You can change your situation especially when it comes to your finances,” said Humphrey.
Client Shadana Chaney admits she wasn’t good at managing her finances. Humphrey got her on the right path. Chaney now has her own petite clothing boutique. For the first time, has money in the bank.
“We started off with the basics,” explains Chaney. “She told me how to manage my money that was building a budget.”
Try new methods to cut your budget
With just a few simple moves you can start saving money right now and make more of it in 2021.
“It’s really important that you get real with your money and look at your bank accounts,” said Humphrey. “Where can we make some budget cuts? Where can we cut back?”
When cutting back, besides the obvious cuts on expensive coffee trips or gym memberships, consider switching companies like your cellphone, cable, or internet provider. Often those “new customer” rates are a lot lower than what you are paying now.
“Sharita is a big advocate of paying your bills on time but also paying ahead,” said Chaney.
Save money with apps and free accounts
Next, create a budget and start saving money. Humphrey recommends opening a savings account that is free to use. Examples include Capital One 360, Chime, and Varo.
“Your first line of financial defense is making sure you put something back every single paycheck. It doesn’t have to be a lot,” she explains. “If you were saving five dollars a month, a couple of months make it 10 then make it 20 - before you know it you are going to be at that 500 dollars.”
A few apps that can help you save money include Mint, Jassby, and Clarity Money.
Fix credit report mistakes that could be costing you
Look for mistakes that might be costing you on your credit report. Some electric, cable, cell, and insurance companies view credit reports to determine how much they will charge you. Cleaning up your credit report can raise your credit score and could mean lower bills.
“Over 80% of credit profiles have inaccuracies,” explains Humphrey.
Part of the Cares Act passed last year said anyone can check their credit score one time a week until the end of April.
Start a virtual side hustle
Thanks to our new world of video chatting and online everything - making money with a side hustle is a little easier. You can try online tutoring, virtual music classes or freelance writing, or computer work.
“What you are doing right now is going to affect you now, five years from now and even 20 years from now,” said Humphrey.
Whether you take the safe route or the risky road in the game of life, Humphrey encourages you to do it now.
“I don’t care if you are 19, 29, 49, 59 it’s never too late,” she said. “It’s never too late to start the wealth journey.”
Often hiring a financial coach is one of the best ways to get yourself on track for the future. Here’s a link to Humphrey’s company.