Signs You Don't Make Enough Money? Here's What to Do

Do you believe you are underpaid? Are you tired of not making enough money? Or, does your lack of income make it hard for you and your family to pay the bills? Are you noticing Signs You Don't Make Enough Money? Here's What to Do.

Going to work every day and getting paid less than you are worth can be hard on your emotions and wallet. But, even if you don't get the raise you think you deserve, you may have more control over your income than you think. Here are some things you can do if you feel you don't make enough.

What Does it Mean to Have 'Enough' Money?

If you're like most Americans, you probably don't feel like you belong. You might also feel like

- You don't have enough money in the bank,

- Your living costs are increasing, and making ends meet is getting harder.

- You don't have enough money to support your family

- The money you make is not enough for you to survive.

- Your salary is not enough for you to get by.

In times of economic instability and inflation such as this, it's hard not to worry about having enough money.

So, what does "enough" mean, and how many people don't think they have it? To find out, we asked more than 1,000 Americans.

- 70% of Americans think they don't make enough money, and 72% think they don't have enough money saved or invested.

- Eighty-two percent of Americans say they don't have enough money for at least one necessary expense.

- 66 percent of Americans say they don't have enough money for health-related costs, 55 percent for housing costs, and 37 percent for food.

Even though everyone has different needs, most people have the same trouble meeting them.

Since most Americans live paycheck to paycheck, most of the country has to work monthly to make ends meet.

So, how much money does the average American need to meet their needs? Here is what we learned.

Research has shown that the cost of living has increased for most families by an average of $276. So, it's no wonder that people feel like they don't make enough money.

The 2020 U.S. census said that the median income for a household was $67,521, but our average respondent thought an excellent income would be about $7,600 more than that.

Signs That You Don't Make Enough Money

Before you decide you don't make enough money, you should look at the signs that show you don't.

Knowing these signs is essential because many people make a good living, but how they spend their money keeps them on the edge of poverty, with feelings of want and not having enough money.

You might think you make good money because of the numbers, but you might still struggle to pay your monthly bills. You might not make enough money, spend too much, or maybe both.

Problems like these can lead to real financial problems. If you don't make enough to pay your bills, you need to start taking steps to make more money right away.

A budget can help you get back on track, even if you feel like you don't have enough money to make a plan.

Find out these seven signs to tell if you don't make enough money and ways to fix it.

Sign 1: You Can't Cover Your Bills

If you have to choose which bills to pay each month, you have a problem with money. It's essential to do something right away to fix this problem.

Look for ways to lower your bills, like moving to a place where rent is cheaper or selling your car.

Cut your lifestyle when you feel like you don't make enough money.

To cut back on your lifestyle, you must cut back on all your luxuries. It could mean getting the most basic plan for your cell phone and giving up cable TV.

Instead of eating, cook at Home and stick to a tight grocery budget. If you want to watch a movie, you might have to rent it instead of going to the theater.

You can still enjoy life even if you don't have much money, but you have to be smart about how you spend it.

Sign 2: Using Your Credit Cards Every Month

One of the most obvious signs that you don't have enough money is that you have to use credit cards to pay for everything at the end of the month.

So if you run out of money during the month or use credit cards to get by until your next paycheck, you probably have a problem with your income.

At first, this may not seem like a big problem, but it will only worsen as your balance and credit card payments go up.

Check out this article: How to Change Your Credit Card Due Date

If you feel like you don't make enough money, use your credit cards less.

It might seem complicated to stop using your credit cards when you don't have enough money to pay for the things you need.

But using cash for everyday purchases can help you control how much you spend.

Sign 3: When You Can't Handle an Emergency

It's difficult to save money for an emergency when your monthly budget is low. However, this sets off a chain reaction. You may be forced to use your credit cards if you cannot handle a crisis.

Your credit card expenses will eventually become so large that they will damage you even more.

Even if you cut back, if you don't have any additional money to save for an emergency fund each month, you don't make enough money.

Set up an emergency fund when you feel you aren't making enough money.

If you are struggling to make ends meet, it may appear absurd to save money every month. Having money set aside for emergencies, on the other hand, can provide you with peace of mind and allow you to focus on other goals and challenges.

You might begin with $50 extra per pay cycle and gradually increase it. Your emergency fund should contain between $1,000 and one month's salary.

Step 4: You Are Not Reaching Your Financial Goals

If you are barely getting by and not making any progress on paying off your debt or saving money, you probably aren't making enough money.

Even though this situation may not be as bad as the ones above, it is still bad enough that you may want to do something to change it.

You need to do something about this before it gets worse and stays that way.

Make sure your financial goals can easily be achieved if you feel you don't make enough money.

A good goal might be to get out of debt in a year, but this may not be possible if you owe close to $30,000 and only make $40,000 a year.

Make sure that the goals you set can be reached and are transparent. It could be paying off one credit card by the end of the year or sticking to your budget while you work on your debt.

Then, step by step, you can start to make fundamental changes to your money.

Sign 5: You Run Out of Money at The Beginning of the Month

You can have a lousy month once in a while. But if you always have trouble making ends meet after the fifth month, you probably have a problem with your income.

Running out of money at the beginning of the month clearly indicates that spending too much money is likely not the problem.

On the other hand, if you can barely pay your essential bills, you are not making enough money. You might feel like you've already spent your pay before you get it.

If you don't think you're making enough money, a new job might be the best way to make more.

But getting a second job or working on side projects can help you pay down debt and build up an emergency fund to do more than stay afloat.

If this is going to be a long-term problem, you might want to consider returning to school to get a job that pays more.

Sign 6: You Are Constantly Worried About Money

There is a distinction between fretting about how to pay for an unforeseen car repair and getting a sick knot in your stomach every time you think about paying for groceries or the rent.

If money worries keep you up at night, likely, you're not making enough money. Use some of your fears to help you make a plan that will turn things around.

Stop handling your money in a panic, especially when you think you don't have enough money.

A budget lets you plan for what you want to buy. With an emergency fund, you can pay for unexpected costs.

When you make more money, you have more room in your budget. If you go from one financial crisis to the next, you won't be able to make progress on your goals.

Using these tools will help you make a budget and stick to it.

Don't Make Enough Money? Here's What to Do

Now that you know the signs that show you don't make enough money, here's what to do.

When you don't make enough money, you'll need to take a few steps to get your life back on track. But, of course, things can't be fixed overnight, so if you want to fix them, you should be ready to work hard for a long time.

Read also, How to Cancel a Pending Transaction on a Credit Card, Debit Card, and PayPal

1. Create an additional income stream

Even if your bills are paid on time, you won't get very far unless you make more money. Only by making more money can you work toward having "enough money."

It will get you to your financial goals faster than if you just cut your spending. But many people think it's hard to make more money.

But in reality, it doesn't have to be that way!

Getting another source of income outside your regular job is a great way to increase your income quickly. But, most of the time, you can make money doing something you enjoy.

Related: 37 Highest Paying Online Jobs – Earn $50,000+ At Home

There are many ways to make extra money, like selling clothes, babysitting, starting a blog, doing woodwork, or something else.

2. Make a List of your Income and Expenses

To start, you'll need a pen and paper to write down your costs. First, go through your bank account and write down everything you've spent money on in the last three months. Make sure to write down the amount and the date of the month.

After you've written down your costs, it's time to write down what you make. Making a list of your income and expenses should be easy if you only get paid once a week or twice a month. However, if your income changes weekly or month to month, do your best to determine the average.

Instead of overestimating your income, it is better to underestimate it. Knowing about money is one way to figure out what to do when you don't think you make enough money.

3. Create a List of Your Financial Achievements

Even though you don't have the final say on whether or not you get a raise, there are things you can do to improve your chances of getting one. For example, keeping track of your accomplishments is one way to show your boss that you should get a raise.

Now is the time to keep track of your work accomplishments if you haven't already. Think about the last year or two. What stands out as something unique? Did you make a system or process better? Save money for the company? Take on another project?

Managers don't always realize how much value their employees bring to the company. They may be impressed or even shocked when they find out how much you have done for the company. You're taking a step toward getting a raise by listing your accomplishments.

4. Cut Down on Your Expenses

All personal finance experts talk about how important it is to cut back on spending that isn't necessary. They will tell you to live in a cheap house, shop at thrift stores, drive a cheap car, etc.

But you might have to cut back even more if you make less money. So, in addition to moving to a cheaper neighborhood, you might need to give up a few premium subscriptions, pack your lunch for work, find more affordable places to buy groceries, etc.

The goal is to try to cut spending as much as possible. But, of course, the amount you need to cut back depends on many things, like:

- How much you earn,

- How much you need to save

- Whether or not you expect your income to go up in the future.

5. Take on Additional Work in the Office

Could your boss use your help with some extra tasks? Do you have the chance to work extra hours? Would taking on more work make your case for a raise stronger?

Volunteering for extra projects is often a sign that you are serious about your career and want to help your company do well. And if you ask for extra work, you might get to work on something that isn't usually part of your job. In addition, this will help you improve your skills.

6. Talk to Your Employer About a Salary Raise

It can be scary to talk to your boss about your pay. But that's not necessary.

You may already get along well depending on how well you know your boss. Most managers know that their employees want to get paid more, so the conversation won't be as shocking to them as you might think.

Ask your boss what you can do to make yourself more valuable to the business. Sometimes, letting your boss know you want to take on more responsibility is all it takes to get the raise you want.

7. Save All You Can

If you notice the signs that you barely have enough money to pay your bills, you must make an intelligent budget and save as much as possible.

Related: 10 Simple Ways To Save Money (Tips For Any Budget!)

Emergencies happen, and if you don't make enough money to make ends meet comfortably, getting back on your feet will be even harder after a roof leak or a medical bill. So save as much as possible in an emergency fund to get ready and protect your money.

8. Start Living Below Your Means Even When You Think you Have Enough

If you live on a tight budget, you might be tempted to spend more when you get more money. For example, if you get a raise at work, you might want to move to a more popular neighborhood immediately.

Or, after your supplier pays a long-overdue bill, you might feel like you need a new fridge.

But don't do this. Instead, put the extra money into a business that can make money so you can make more money in the future. There are many ways to put the extra money to work to make more money.

Please read our article on How to make money fast (in different ways).

9. Focus on What You Have (Not What You Don't)

Trying to make more money is a huge distraction from actually trying to get money. It's not fun to think about all the money mistakes you've made and how you got to where you are now.

On the other hand, everyone wants to make more money to pay their bills and buy the things they want.

If we had a certain amount of money in the bank, if all of our debts were paid off, or if we had a certain amount of money coming in, then and only then would we think you could stop worrying about not making enough money.

You move backward when you worry that you're not making enough money. Of course, focusing on what you have doesn't mean you shouldn't try to reach your goals.

But worrying about not making enough money won't change your money situation right away.

Focusing all the time on what you don't have can make you worry about money. When you think about what you don't have, you go against the laws of the universe and make yourself feel less rich.

So, in addition to all the practical ways to make more money, what will help you is to change what you focus on.

10. Plan EVERY Dollar, EVERY Paycheck

Planning every dollar of every paycheck around your most critical financial goals is key to making your money work.

You will realize that you were making excuses for spending small amounts of money because you thought the lie that "it doesn't matter anyway because you don't have enough money." When you start keeping track of every dollar and planning how to spend it ahead of time, your finances will improve immediately.

Check out these 17 Blank Budget Worksheets to Manage Your Money 

Planning every paycheck means you should make an appointment with yourself every time you get paid to look at your income, the bills due the following week, and your current financial goals. Then, when you have a plan, stick to it.

11. Pawn Your Valuables

If you don't think you make enough money, you could pawn something valuable to get cash quickly. But, of course, you'll have to pay the loan with interest if you want those things back. You'll lose the item if you don't pay it back on time.

Don't do it if it's important to you in and of itself. But if it doesn't, you might want to think about it, depending on your situation. On Facebook Marketplace, you can also set your price for the things you want to sell.

Related: 40+ Easiest Things to Flip for Profit

How Can You Save and Invest?

When you notice the signs that you don't make enough money? Here's What to Do. To begin, divide your holdings into liquid and illiquid assets even if you don't have much money to invest.

Described, "liquid savings" are funds that can be accessed anytime. It's similar to having a checking and a savings account. The liquid savings is for your day-to-day expenses and any unexpected expenses.

To pay someone, you must know how to write a check or use a payment tool such as Venmo, PayPal, or Apple Pay.

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