8.1 EARLY WARNING SIGNS OF FINANCIAL TROUBLE CHECKLIST Complete the checklist in Worksheet 8.1 to see if you exhibit any of the warning signs of financial trouble.

Check the following list for any early warning signs of financial trouble.

Early Warning Signs of Financial Trouble Yes No I am living paycheck to paycheck.

I am using my credit cards without the cash to pay the bill when it comes.

I am paying only the minimum amount due on my credit cards.

My credit card balances increase month to month (I’m gaining pounds).

My net worth is decreasing each month.

I am charging essentials like gas and groceries without a payoff plan.

I do not have a budget and do not know my monthly income and expenses.

When I get a raise, a new job, or win the lottery, I will live debt-free.

My money runs out before the month does.

I do not have at least six months’ income in an emergency fund.

Total Yes Count If you checked yes in any of the boxes, you may be heading toward financial trouble. Now is the time to make a plan for changing your bad financial habits and then stick to that plan to avoid a financial crisis.