Most of the time, nobody has any idea how much money you make. But once in a while the limits of your wealth become obvious when you need fast cash in a difficult money situation.
Here are five of those awkward moments when money presents a problem and how to prevent them from happening again:
5 Awkward Money Moments You Would Never Want to Face by Slidely Slideshow
- Medical Emergency
The main cause of financial problems in America revolves around the inability to pay high medical bills. You should create an emergency fund just in case you have unexpected visits to the doctor that aren’t covered by insurance. In these situations, payday loans can come in handy, especially if you have a steady job.
- Your Car Breaks Down
Every car breaks down at some point, so it helps to plan a budget for auto repair. Make sure that your auto insurance policy covers towing, which can save you money if your car is immobile. It’s best to have at least $500 saved up for auto repairs.
- Help a Friend
A family member or friend may approach you and ask for money due to their poor financial situation. The money you allow for friends should come from savings and should not create a strain on your own financial situation. Payday loans can help if you know your friend can repay you quickly.
- Pay for a Wedding
Perhaps you have a relative who is getting married and you want to help pay for it. Since weddings can cost thousands of dollars, it should be part of a long term investment plan. Consider the various ways you can save money on a wedding, such as having the ceremony and reception at home.
- Personal Gifts
Sometimes birthdays sneak up on us and we have to rush out and buy a gift for someone. The best way to plan on gift giving is to buy during periods of big sales, such as the weeks following New Year’s. Buy a few generic gifts, such as office supplies, that can be given to anyone at any time throughout the year.