Unfortunately, inflation is everywhere right now. It's a complicated and complex thing, that can sometimes be scary, but that's why we're here to help.
Zack Dosch, Bismarck/Mandan Market President recently sat down with us to explain four ways that can hopefully help you and your family combat inflation.
Prioritize- Understand and be honest with yourself about what your priorities are. Knowing what is a want versus what is a need. It’s important if you are truly being honest and if you must make cuts, you're making them on the wants and not the needs. Make sure you aren't putting wants before needs. Inevitably there will be give and take, but you need to look at what’s more in line with what you want to accomplish or need for your family. Whether that’s a new vehicle, a family vacation, upgrading your house, etc. It doesn’t have to be complex. So for us, we really just look at what we need right now and what is a want that we can remove to save money.
Budget but be flexible- Some people are good with budgets, for others, it might not work. Being able to plan but understanding when it’s okay to be flexible, is important. If you can, try budgeting for your food, bills, housing, clothes, etc. or at the very least, budget your inflows and outflows. That way you know where your money is going. It’s important to know that some months you might have to be flexible and your budget might not pan out perfectly. You might want to spend a little extra on entertainment or eat out for a change and that’s okay. Not spending the extra money you have leftover each month, but rather trying to stick to that budget as much as possible, is how you end up ahead in the end.
Have an emergency fund- Life can throw a curve ball and often those curve balls can be expensive, especially if you have kids. Even if you start small with your emergency fund, it’s important to start somewhere. A standard month, might not always be possible. Having an emergency fund will allow you to cover those expenses and won’t lead into a setback, or hopefully put you into credit card debt.
Automation- Setting up automated credit card payments, water bill payments, etc will allow for you to ensure your bills are paid. You won’t forget or have the opportunity to spend that money on frivolous things, if it’s being used to cover bills. That’s how you win the financial game is just little by little, every month making those smart decisions can help you grow your savings.
“We all live different lives and so what works for us, might not work for others, but you don’t have to take drastic measures to save. Find what works for you. FCCU has great resources and staff to help you battle inflation and we’re here to answer any questions. It’s important to note that things change, so keeping a constant dialogue is always a good idea. Something that didn’t work for you before, might now,” says Zack.
