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Money problems? Here's how to fix or avoid them

2013-11-09 05:31:17

Avoid a financial crisis

Even the smartest budgeters sometimes come face-to-face with an abrupt,

unexpected financial challenge. Often, these issues come hand-in-hand with a

major life event losing a job, splitting from a spouse, or even receiving an

inheritance. The emotion surrounding these events can make for murky-minded

financial thinking.

One way to make sure you don t fall victim to brash, emotional money decisions:

plan in advance for the unexpected. We ve compiled a list of intelligent steps

you can put in place now to help you handle the major life events that can

throw you into a financial tailspin.

Protect your money during a divorce

You re in love so why plan for your romance to go awry? Should your

relationship go sour, chances are you ll be much more caught up in immediate

concerns than taking a long view of smart financial moves. And that doesn t

even factor in the cost of the divorce itself a financial burden which

experts say can vary by a factor of a thousand .

Save yourself the added pain and suffering of financial woes by taking these

simple, cautionary steps while you re still married. They won t hurt your

overall finances and you may, someday, be grateful that you did.

Plan for a disaster

Very few people plan adequately for a natural disaster like a typhoon,

hurricane or earthquake to strike, and with good reason: if we are lucky,

such an event may never happen at all. But nevertheless, it is relatively easy,

and incredibly useful, to have a financial and personal plan in place to help

you anticipate the unthinkable.

With a little bit of organisation and shopping, both for good insurance and a

disaster kit, you can have some peace of mind that you have what it takes to

get through a catastrophe. Here s what should always be in your supply kit

and what you should discuss with your family to ensure everyone is on the same

page.

Don't let a windfall sink you

It s the kind of problem many of us dream of having: either by way of an

unexpected inheritance, a huge bonus, or even winning the lotto, you ve

suddenly come into a huge chunk of money. But for many, a windfall like this

can be rife with financial issues.

Before you start spending and handing out cash like a human ATM machine

take a deep breath, and read this guide to ensure you make the most of your

newfound good fortune.

Make it work on a single salary

As a couple, you ve promised to be with each other through richer or poorer

but what happens when a two-income household suddenly only has one? Sure, it s

a little easier if one of you has planned to quit your job in advance, but the

financial implications of losing an income stream can have an immediate and

painful effect on your family finances.

You can navigate the loss of one income if you know what it will take and

where you can cut your budget. See how you can prepare for living on a

one-paycheque budget and even save some money in the process.

Go on the trip of your dreams

Have you been saving for a dream vacation? The trip of a lifetime can easily

run in the thousands. That doesn t mean you shouldn t go but it does mean you

should plan carefully, and ensure that your globe-trotting aspirations don t

negatively impact other financial aspects of your life.

Before you book that ticket, learn the common mistakes travellers make when

planning a vacation and discover a few online tools designed to help you save

big.