We’ve all been there — made a money move that felt fine in the moment, only to regret it later. In fact, CNBC reported that most Americans are stressed about money these days.
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Maybe you splurged a little too hard, trusted the wrong “can’t-miss” investment, or ignored a bill until it snowballed.
The good news? One mistake (or even a few) doesn’t have to derail your financial future. In fact, bouncing back can be easier than you think.
Kevin Marshall, personal finance expert and senior contributor at Amortization Calculator, said what matters most isn’t the mistake, it’s how you respond afterward.
Here are some of the best ways to recover from a major money mistake and get back on track with confidence.
1. Revisit Your Budget
The first step Marshall always recommends is going back to your budget — not the one you had before the mistake, but the one you need now.
“Pull up your accounts, be honest with yourself, and look at what’s coming in versus what’s going out,” he said.
He said this isn’t about judging yourself. It’s about seeing clearly.
Marshall’s helped people cut hundreds of dollars just by identifying unused subscriptions or habits they weren’t even aware had gotten out of hand.
“Once you know the gap, you can start closing it.”
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2. Don’t Try To Do It All Alone
There’s a lot of pressure to handle money problems quietly, said Marshall, but reaching out for help can actually speed up your recovery.
Whether that’s sitting down with a financial advisor, a CPA, or even a certified credit counselor, he said an outside perspective can uncover options you might not think of.
Marshall once worked with a couple who were drowning in credit card debt.
“After a few sessions, we came up with a repayment plan that included interest negotiation and a temporary pause on non-essential spending. Within a year, they were back on stable footing.”
3. Cut Out Unnecessary Expenses
Speaking of spending — Marshall said cutting unnecessary expenses is one of the quickest ways to get breathing room.
“It doesn’t mean you never get to enjoy anything again. It just means dialing things back temporarily.”
Dining out, expensive hobbies, new clothes — these are areas where trimming can make a noticeable difference fast.
He’s seen people free up hundreds of dollars in a single month just by deciding to cook more meals at home and hit pause on the Amazon app.
4. Building or Rebuilding an Emergency Fund Should Come Next
Even if you can only save $20 a week, do it. Marshall explained that one of the toughest parts of recovering from a mistake is feeling like you’re one surprise away from disaster.
“An emergency fund, even a small one, gives you some buffer. It turns a flat tire into an inconvenience, not a crisis.”
And over time, those small deposits add up faster than you think.
5. Think About Ways To Increase Your Income
This doesn’t mean quitting your job or launching a side hustle overnight, Marshall noted.
Sometimes it’s as simple as picking up a few freelance gigs, selling items you no longer need, or finally asking for that raise you’ve earned.
“I’ve seen clients start with one small weekend job and eventually turn it into a reliable second stream of income that completely changed their financial trajectory.”
Overall, financial recovery is rarely instant, and it’s never perfect, said Marshall.
But it is absolutely possible. One good decision at a time, one habit change at a time — that’s how you get back on track.
“Mistakes happen. What you do next is what counts.”
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This article originally appeared on GOBankingRates.com: 5 Best Ways To Recover From a Major Money Mistake
