How to Manage Your Finances During a Big Move
September 15, 2019 | Moving
Moving can be one of the most stressful times in an adult’s life. On top of that, it can also be one of the most financially difficult times. Due to the cost of buying a new home, packing, storage, and moving, you may find that all of these things are quickly adding up and emptying your wallet.
There’s no getting around the fact that moving is going to be a costly experience. Therefore, you need to get a head start on managing your finances to prepare for all your expenses during a move. Thankfully, there are lots of great ways to save money and successfully manage your finances before a big move.
A good way to maintain stable finances during a big move is by planning the move out step by step well in advance before the day arrives. Start by writing out a schedule of all the events that will be happening between the time you start planning and the time you move. This will leave you with no unexpected events and can give you time to prepare for everything accordingly.
Once you do this, make a list of all the things you need to pack, in order of importance and include a pack by this date column. For example, items that you won’t necessarily use in the next few weeks, such as decorations for the home, should be packed first so that they are out of mind long before the move. Pack items that you are using up until the move, such as toiletries and clothing, last.
By spreading out the work over time, you reduce stress and won’t have to rush to pack. On top of that, this can help you out financially as well, because it helps prevent you from losing or forgetting items and needing to buy them after the move.
Create A Budget and an Emergency Fund
Make managing your finances (and your move) easier by getting a budget ready in advance. Don’t forget the most important part: sticking to it. When writing out a budget for your move, use the calendar from the last step to help you figure out where you’ll be spending the most money. This will also often come in the form of eating out while your kitchen items are being packed up.
Once you’ve set a budget for the duration of your move, start figuring out ways that you can spend less. Pack your kitchen items last so that you can cook dinner at home, and buy low cost frozen food that you can take with you to your new house. This lets you save money on food because you won’t be eating out.
Don’t forget to include a moving emergency fund in your budget. Aim to save around $1000-$2000. By having an emergency fund put aside, specifically for a move, you can help mitigate a significant financial loss caused by a medical emergency, a car breaking down, or broken items that need to be replaced.
Have Money on Hand
During your move, you’ll likely be rushing around a lot. With all that packing and shopping, expect to bounce back and forth from your home and in your town often. In addition to that, you could be traveling for long periods during a move. Therefore, it is essential to have immediate access to your funds at all times. By having quick access to your money, you will never feel that you’ve lost track of your finances.
One great way to do this is by signing up for an online banking service so that you always have a way to manage your finances. These online banks operate just like a regular bank, in that you can check your different accounts, but because they’re online, you can keep tabs on them directly from your phone. This will mean you’re always going to be on top of your finances while you’re on the go.
In addition to this, you should withdraw the right amount of cash from an ATM. Having cash on hand is great for when you need to make quick emergency purchases. Be sure to also put any leftover money directly back into a savings account after your move is over, as cash on hand can depreciate over a long period of time.
Handle Your Paperwork First
When moving, there’s going to be a lot on your mind. The chaos of dealing with bills and paperwork while trying to organize for a move might become a stressful experience.
That’s why you should try to get a head start on paying your bills and filling out any necessary paperwork long before you start moving. This will leave you with more free time to focus on other important aspects of the move, such as the steps we’ve listed previously.
Finally, remember to take the process one step at a time. While moving is undoubtedly going to be stressful, it’s nothing you can’t handle. Also, for low-cost and secure storage options for moving, consider reaching out to the friendly storage team at Metro Storage.