Discover What Income You Truly Have
You are broke. Busted. Without a dime. Bordering on bankrupt. Or maybe you have had to declare bankruptcy. What can you do? Where do you start so that you can put your financial life back in order?
You’ve decided that you need to buckle down and learn some basic budgeting skills. But there are so many basic budgeting and self-helps out there. Why? Because just like you, many of us struggle with money, or the lack of it.
So where do you begin? Start here.
Yes, start right here and discover what income you truly have. You may be pleasantly surprised by what income you actually have. Many of us overlook some sources of income and don’t even consider them as income.
This approach is going help you find those hidden sources of income. Because once you acknowledge you have this income, you can use it with purpose.
Purpose such as:
- pay down a debt, or
- buy an item you need.
- Or perhaps use it to increase your grocery buying power.
The choices will be yours. But you can only know how to spend it after you know how much total income you truly have.
So one of the goals here is to take you right back to the bare bone basics. This will also help you to adjust your mindset and have you start telling yourself the truth. Be true to you!
Here at Free Stuff 4 Daily Needs, we know that you are struggling. We understand you may be living on Social Assistance, or on a Disability Pension. Perhaps you have a job that only pays minimum wage and may or may not give you full time hours. You struggle because you live at or below the national poverty levels.
Your total annual family income is possibly $25,000 or less, and that is being overly optimistic for many of you for sure.
So, if you’ve already cried out for HELP, then this is for you!! Let’s get started.
You Will Be Empowered Towards A Hope And A Future
Just like any new skills or experience, there are steps you must take. But remember, this reality check schooling will result in a much better financial future for you. As scared as you may feel about looking this closely at your finances, be encouraged. Beginning today—you will start to take control of it again. So put a smile on your face.
Discover how much income you truly have. In this way you will:
- better figure out how to pay basic bills
- increase your grocery buying power
- resulting in more food on your table
- and maybe even have a little more money in your pocket.
Tools You Need
There are some basic tools you will need. The following inexpensive items will help you figure out your total income. Because once you can more clearly understand what your financial picture is today, you will be in a position to change it for tomorrow.
- Lined paper
- pens and pencils
- pay stubs, or anything that shows you your sources of income
- any other sources of income can include your latest income tax returns. What will you be getting in GST quarterly payments? If you reside in the Province of Ontario, what will you receive in the monthly Trillium payments?
So gather up all the information about ANY sources of income that you have. This may also include Child Tax Credit or alimony/child support payments.
Now don’t squirm too much right now, remember, you are going to be truthful to YOU! And aren’t you worthy enough to be told the TRUE picture about your income? I believe so. Be empowered by this information!!
Perhaps you’ve often told yourself “what income?”. Maybe you feel like you don’t have enough to even fill a pink piggy bank.
Well, today, you are going to figure out just what sources of income you truly have. You are going to try and find every nickel.
Can’t say “find every penny” anymore since the Canadian Governement did away with those, so, “find every nickel”.
It is very important that you be totally honest with yourself and your finances. Make sure you write down ALL sources of income. I mean it!! If you don’t figure out what you really have for money to begin with, how can you figure out how to use it wiser?
Be truthful with YOU!
One of the traps of Poverty is the lies of the mind that come against you. So fight back! Speak the truth to yourself—be honest with you.
So, that means writing down what you get from any:
- Disability pensions such as Ontario Disability Support Plan (ODSP), or
- Social Assistance (Ontario Works)
- any Wages, Tips and Gratuities**
- Monthly Tax Benefits and Quarterly Tax Benefits (Trillium & GST)
- Child Tax Benefits
- Alimony &/or Child Support
- any money from selling items on social media such as Facebook groups, or Kiijijii, Ebay or the such
- and other money sources you have, that are not listed here.
Yes, Include Any Tips You Might Receive
**Yes, list your Tips and Gratuities. You did notice that line on your Income Tax Forms didn’t you? You have to claim it for Revenue Canada. Revenue Canada counts it as an actual source of income for you, so you should too.
Back in my waitress days—I could make $500 or more on a weekend—that helped buy the extras we wanted, or paid an unexpected bill. So if you have a job where you make tips and gratuities, make sure you count it as an area of your income.
Do You Have More Or Less Income Than You Thought?
After you are done writing down all these sources of income, total them up.
Do you have more or less income than you first thought?
Let me know in the comments below. More or less?
Even for Barry and I, our taxable income (take home income) was $12,700. However, after including both the GST and Trillium benefits we receive annually, this increases our yearly income by $1,716. So, being honest with ourselves, that means our total income to pay:
- housing (mortgage, insurance, land taxes)
- anything else
is actually an annual income of $14,416. That looks a little better.
Summing Up Your Results
It can be so easy to see everything that you don’t have, rather than taking a moment to see what you do have. So, breathe it in for a moment and appreciate this moment if you’ve just been pleasantly surprised by realizing that you have more money available to you monthly than you first thought.
However, if you’ve just discovered you have even less money than you first thought, take heart. By knowing this information, you are now EMPOWERED to make decisions to improve this financial picture for yourself.
Whether that means getting a job, a better job, or reducing your costs, you are the one now in control. Only you can change the situation, or allow yourself to be further depressed and pulled down.
Remember, a huge trap of Poverty are the lies of the mind—so speak life to your mind—today might be tough, but tomorrow will be better, because you have knowledge about your situation that will EMPOWER you towards a HOPE and a FUTURE.
Beginning right now, be encouraged by your Income numbers. Whether they are higher or lower than you expected. That is because, right now, you are somewhere. You have a place to start. A place to turn things around because you now know what you have. You have been truthful to YOU!
Take the next step and grab your FREE Basic Budgeting Beginners Worksheet.