Tag: Budgeting

  • How to Financially Prepare Yourself During Layoff Season

    How to Financially Prepare Yourself During Layoff Season

    2022 saw a mass of layoffs from many companies, with tech at the forefront. Thousands of people were left unemployed, with many having to figure out how to survive the unexpected news, impacting them mentally and financially.

    More recent news of layoffs is the cryptocurrency exchange platform, Coinbase. They announced last night that they would be cutting 20% of their workforce, after already reducing 18% of their staff in June ‘22.

    Amid these layoffs, we thought it would be helpful to provide a “how-to-guide” on surviving (financially) through unexpected circumstances.

    TomoCredit’s Step-by-Step Guide on Financially Surviving a Layoff:

    1. Make sure you have between 3 to 6 months’ worth of salary in case of a layoff or other unexpected circumstance(s).
    2. File for Unemployment immediately. The quicker you file, the faster you will be able to obtain any funds you qualify for. The process can be lengthy, so do not wait!
    3. Organize your bills and create a strategic plan. Make sure you know what bills are due, if there are any plans you can cancel until you can afford them, and call your providers to see if they offer any program to delay your payment dates.
    4. Check your benefits. Depending on your case and your employer, you could qualify for benefits extension (also depending on what state you live in), i.e. COBRA.
    5. Be frugal! Now is the time to pinch every penny and not spend frivolously on things you don’t need.
    6. Create a savings account and a savings plan if you haven’t already. Put money away that you are not spending on necessities. Practice differentiating between needs and wants.
    7. Evaluate your current debt. This can be student/credit card/auto/etc. You should start to look at all your open debt and reach out to companies to see if they offer any sort of forbearance while you are in a time of uncertainty.
    8. Be open to opportunities. Take advantage of any opportunity dealt your way. Even if the opportunity does not make you a ton of money or is equivalent to what you were making before, this can help pay the bills. And who knows, this opportunity could turn into something better in the future.
    9. Track your spending. Create a spending tracker in Excel and make sure you record every penny you spend. You can also use the “cash diet” method to track expenses. This tactic allows you to be more transparent about your spending and can trick your mind into thinking it is harder to let go of paper money.
    10. Use your credit cards wisely. In times like these, you will want to use any credit card you have, strategically. Stay away from your cards that have high APR/interest. These fees rack up quickly and you’ll be in a lot of trouble. Cards like TomoCredit, with 0 interest/APR, will keep you in a win-win situation by helping you build credit without burning a hole in your pocket.

    We hope these steps will help you get back on your feet. If you have any questions about our latest blog on financially surviving a layoff, feel free to reach us at press@tomocredit.com

  • 5 Summer Activities That Won’t Break Your Bank Account

    As we head into summer and the weather heats up, many might be looking for affordable activities to enjoy with family and friends. Summer is a great time to enjoy the sunshine and get out of the house. All of the trips, vacations, and outdoor activities can start to add up and take a toll on your budget. Whether you’re a college student or looking for affordable activities for your family, here are some summer activities that won’t break your bank account.

    1. Head to the Farmer’s Market: In most cities and towns, farmer’s markets where local farmers and businesses gather to sell their products are hosted on the weekends.. This is an affordable way to buy your products while enjoying some time outdoors. It’s also the perfect spot to meet up with friends and family and shop around for an affordable price.
    2. Look up near nature trails: Check out distant or near trails in your area for its scenic view and experience the great outdoors for free! Whether you choose to hike or bike these trails, it is a great way to get outside and be in touch with nature. This is also the perfect activity to spend time with friends and family and exercise which is good for the mind and body.
    3. Go Swimming: A nice hot summer day calls for a pool day. If your home does not have a pool, no need to fear, there are plenty of neighborhood pools, rivers, lakes, and oceans, depending on your region. Access to a cool body of water is the perfect activity to lounge and enjoy a hot summer day. This activity should cost a low fee and can even be free.
    4. Read a Book: Summer is the perfect time to pick up a new hobby or read that book you’ve been thinking about. Make time in your day to sit outside or choose another space to relax in and enjoy the book you have been wanting to read. This activity can be done in your own home or in public, such as the local library, park, and coffee shops. Books are usually inexpensive and great for your mind and soul.
    5. Host a BBQ: As more people become vaccinated and guidelines are followed, family and friends can begin to gather as life returns back to normal. While restaurants and eating out becomes more of an option, hosting a BBQ is the perfect inexpensive and more affordable option to dining with friends and family. Hosting the BBQ as a potluck will further reduce the costs for everyone attending as one person is assigned to their own dish. The warm weather is perfect for a classic BBQ and an easy way to spend quality time with your loved ones.

  • Avoid Fooling Around with your Food Budget

    As we head into April and COVID-19 restrictions allow for restaurant reopenings, it is essential to reassess your food budget. Most people have come across the thought process of choosing to eat a meal out or stay in and eat what is at home. This is a typical expense that people experience daily. There are convenience and lots of other factors involved in the decision-making process. This is important to any budget when choosing what to eat and where to spend your money.

    50/30/20 Budget:

    Divide your budget into three main categories: needs, wants, and savings. Breaking down your budget will allow you to get a clear sense of where to allocate your money and understand how much you have to spend out on food. This budget consists of spending 50% of your after-tax pay on needs, 30% on wants, and 20% on savings. This rule may not apply to every budget, but will help you better understand managing your funds appropriately. This rule may not apply to people living in areas where it costs more to live, and therefore the budget cannot be applied to the generic spending rule. While not every individual can follow this rule, the general idea is to keep the “30%” or spending money allocated towards dining out and other expenses. Dining out should be categorized as spending and not needs because making your own meals will always be cheaper and more budget-friendly.

    Use Coupons

    Coupons can be found online, in magazines, in stores, and in the newspapers. There are several spending websites such as Groupon, Restaurant.com, etc. These types of coupon sites may offer deals to discount your dine-out meal and grocery shopping. There are also particular times such as Happy Hour that many restaurants take advantage of to offer discounted prices on their food and drink menus. This could be the perfect opportunity to get the experience of dining out while budgeting for a lower price.

    Menu Plan

    When choosing a restaurant to spend out at, take a look at the menu before to understand the prices and options on their items. This will allow you to plan on your expenses while dining at the restaurant and choose which items to purchase beforehand. One example is beverages- water is available for free at restaurants,, while other drinks will cost more. If you decide to have a glass of wine for dinner, you could call the restaurant ahead of time to get a price for their corkage fee, while bringing your bottle could be more affordable.

    Food Delivery Convenience

    While many Americans face the hassle of meal prepping and cooking, there has been a rise in food delivery services. There are some budget-friendly delivery services, however, most of them continue to charge high prices. Food delivery includes meal kit services such as Blue Apron, to restaurant delivery such as DoorDash or UberEats to grocery delivery like Instacart. These big delivery services profit from the convenience craze but at a higher cost than doing it yourself. Before using delivery apps, take a look at the price breakdown and reevaluate if it makes more sense to do it yourself. Eating out at restaurants is costly, while food delivery services offer similar prices. When considering a food delivery service, it is important to check the pricing of your different options to know which one is most suitable for your budget. It could help understand and price the difference between eating out vs. food delivery when thinking about where to spend your money on meals.

  • How to Budget and Improve your CashScore: Thanksgiving Edition

    Thanksgiving is right around the corner! Is it your turn to host the Thanksgiving dinner?

    Even though Thanksgiving may look slightly different this year, with smaller gatherings and a tighter budget, don’t let that stop you from having a great Thanksgiving meal with your loved ones.

    Here are 5 tips on how to prepare the perfect Thanksgiving meal on a budget:

    Don’t be a Gordon Ramsay

    An amazing Thanksgiving dinner does not have to be extravagant; you won’t need truffle oil or imported saffron. There are a variety of recipes online for budget friendly side dishes that you can create. Don’t forget to check those out! A key tip is that vegetables also tend to be less expensive.

    Before heading to the grocery store, make sure you plan out all of the components you will be making. Will you be serving mashed potatoes, pumpkin pie or stuffing? Hopefully it was a yes and a yes. Remember to write a grocery list so you don’t forget anything or get distracted by items you don’t need.

    It is crucial to head into shopping season ready to manage spending and your CashScore (CashScore is calculated by your cash inflow and outflow to help you be on top of your hard earned cash!) Here are our tips:

    Don’t be afraid to be an extreme couponer

    Before heading to the grocery store, check if there are coupons on the groceries that you will be purchasing. When you head to the market, don’t forget to also check the store’s daily specials and coupons. Even if the individual coupons only deduct a small portion from the cost, they will add up. Have you watched Extreme Couponing before? Every cent matters!

    Head to the grocery stores early

    Not only will there will there be long lines, but also a limited selection of produce left if you decide to shop the day of Thanksgiving. It is important to avoid peak hours in order to stay safe during COVID-19.

    Shop early, but not too early. During the week of Thanksgiving, there will be deals on certain items such as Turkey, so you don’t want to miss out on those. Before heading to the grocery store, if you are curious about how busy your local grocery store is, check the grocery store’s location on Google Maps. Under Population Times, there is a live feature where you can view how busy your supermarket is.

    Have a Thanksgiving potluck

    Make Thanksgiving a collective effort. Delegate dishes to family members and friends. Why make Thanksgiving a stressful experience for yourself when you can relieve the stress by having everyone bring a dish. Your prep and cooking time will also be decreased. Now, you can focus on perfecting your own dish and in return, everyone will bring their best dishes. A potluck will be less expensive for everyone, and everyone gets to participate in the fun of making something. Maybe even make it a friendly competition! Thinking of doing a Thanksgiving potluck now? If so, get your spreadsheet ready!

    Most important: Remember it’s about family and friends

    Thanksgiving is all about spending time with your loved ones. This year’s Thanksgiving may be especially different, but don’t let that ruin this special time. 2020 has been difficult for many, so remember to cherish this moment with your family and friends.