Financial blogs are a dime a dozen nowadays. You can’t go on the web without finding one. They often look like this and have tons of advice for a wide range of people. The truth is many of these blogs are extremely helpful, but not necessarily to everyone. Why is that?
They go under the assumption that their target demographic, the people they want reading the tips, all have jobs that are making them enough money to survive. While this is often the case, what about people who were involved in an accident and were injured so badly they cannot work? How can you allocate 20% of your budget to something when you aren’t making anything and you’re just waiting for your lawsuit to settle?
It’s not as bad as it looks and some of these tips can still be helpful. Let’s look at a few on the above link and how they could pertain to someone involved in a lawsuit who is having trouble making ends meet.
#2: Interest rates are a good place to start
If you’ve been avoiding paying the credit card bill (at a high interest rate) in order to keep your Netflix account and other unnecessary things, you may want to reconsider. Can you refinance your car loan to another, cheaper company? These things can help while you’re waiting for your case to settle.
#4: Setting a budget
This is important for every person regardless of their financial situation. Even people making a million a year need to make sure they aren’t spending $1.2 million. It’s more important if you’re making much less, or if you can’t work and your disability will run out soon. In either case, plan out what you will spend your precious dollars on and stick to it.
#16: Learn How to Savor
Advertisements lead us to believe that happiness comes from owning stuff. Often times, though, you can be happy just by using (or re-using) things you already have. This can be important after a lawsuit, too. If you just spent two years struggling to get by, don’t use your settlement to buy a new Ferrari that you don’t need.
#28: Evaluate purchases by Cost Per Use
Kids who have allowances may want to go to the dollar store to get more “bang for their buck”, so to speak. The problem with that is the toys usually break within a week. Instead, it would be worth it to save up the money and buy a more durable toy. Likewise, if you have to buy something, you can shop for it more wisely.
#47: Emergency Account
Lawsuits are emergencies, so it’s best to be prepared for one should it happen. While you do have a job, don’t spend your extra money on things you don’t really need. Put some of that extra money away in case an emergency pops up. If you have 6 months of spending saved up, you might be able to outlast a long lawsuit.
What if you can’t, though? What if a lawsuit is such a time drain that you can’t outlast the big insurance companies? That’s what they’re banking on. They want to make sure no emergency account is enough that you can wait out a lengthy lawsuit process. If you manage to save up money to pay six months of bills, what happens if your lawsuit takes a year or two?
In addition to the few suggestions above, applying for some help along the way can help you last. Legal funding companies like Uplift Legal Funding provide plaintiffs with legal loans to keep them afloat. These cash advances are an easy way to stay on the same level as the insurance companies. Of course, getting these loans does provide you with a quick source of cash. Once you have that, you have to remember to be smart about it and follow the advice of all those financial blogs. And remember: don’t blow it all on that Ferrari or you won’t make it to the end of your case.