Enjoying a Happy Home in Time of Global Economic Crisis

The current global economic meltdown has triggered a recession in the economies of most countries and this has affected many homes.
As the global economic crisis takes its toll on many homes, it is therefore necessary to redesign the home budget to avoid some common mistakes that can ruin a happy home.

Essential Tips.

1. Have a budget plan:
Budget simply means an estimate of probable future income and expenditure. The breadwinner of a home must have a written plan of how to spend his/her income even before the income comes. This helps in checking how one spends in order not to run into indebtedness as a result of over-spending. Draw a plan of expenditure based on how much you earn daily, weekly, monthly or yearly. Make sure your expenditure does not exceed your income. When you live in the range of your income, then you are sure of peace of mind which will reflect in your home also.

2. Be open to your partner:
Open-mindedness is necessary in every relationship. Nobody wants to be kept in the dark. Therefore let your ideas/feelings and plans be made known to your partner, and even the children. Let your partner be involved in your plans and every monetary decision you might want to take to be able cope with this global economic meltdown. The two of you must agree together or at least reach a comprise for the budget plan to be properly executed without causing any problem within the family. To be able to escape this global meltdown, you need the total support of your partner, so be open to him/her.

3. Save before spending:
Practice the attitude of saving before spending. If you used to spend before saving, then it is time to do away with such attitude. Save at least 20% of your income, then budget on the remaining 80%. The remaining 80% could be used to settle the phone bills, electricity bills, house rent, children’s tuition fees etc. Having a 20% savings gives every member of the family a rest of mind, and in time of crucial needs, the 20% savings could be a help and a rescue.

4. Invest your savings:
 For one’s family to be financially stable at this period of economic recess, then there is need for streams of income. As the breadwinner of your family, you need more channels of income and this could be achieved by putting your savings in a profitable business enterprise which can give you a good returns. You can also invest in shares, government bonds, etc.

5. Cut down your expenses:
 For peace to reign in one’s family at this time of economic crisis there is a strong need to cut down the expenses of each member of the family. Though this has to be deliberated on by every member of the family. If your house rent is taking more than 30% of the family’s income, get a cheaper but comfortable one. If the children’s tuition fees are coughing out a huge amount of the family income, look for a more affordable and good school for the kids but let them understand the reason for this. If your income cannot cater for the coming summer holiday outside the country, look for a serene holiday resort or tourist centre in your local vicinity and enjoy the beauty of summer with your family members. After all where you spend the summer holiday does not matter, what matters is the love that radiates in the family. Don’t buy what you don’t need because if you do, you will soon sell what you need.

6. Get insured:
At this period of global economic meltdown, there is need for one to safeguard his/her home against loss, accidents, death etc, in return for regular payments. Get your house, car, business, and the lives of every member of your family insured. Nobody prays for a loss, death or an accident, but we can’t dictate what happens to us in the next minute. Therefore it is wise to shift the risk on the insurance company. Go to a good and standard insurance company, get to know the available insurance products and apply for the ones suitable for your family.
Profess your love more often: Love;the holy book says',believes, hopes and endures all things. Your partner and children need this  unconditional love to believe in you.