Preparation for Downshifting
This is important - I know only to my cost !
As always, it's much easier to write about something after the event. I downshifted 10 years ago and it's taken me the same amount of time to start sorting out certain things.
In those 10 years I've had up's, but an awlful lot of down's. Most of them could have avoided had I sat back and thought about a few things better than I did, some mistakes have cost me dearly !
Credit Card Debt
Try your utmost to clear up any outstanding balances, or at least try to lump sum as much as you can afford. ie £160 per month direct debit pay back isn't so bad when you're earning £50,000 a year, but when you go down to £12,000 it is !
Sounds odd I know. But after downshifting you usually find yourself budgeting certain amounts a month.
If you have an idea of a date you're starting off your new life on, look around and see what's getting old ie Fridge Freezers and other appliances. Buy them whilst you can afford them thus knowing you have some peace of mind for a few years.
Pay it off and go 'Pay as you go'. You'll know exactly where you stand, find yourself cutting down the calls and won't get that nasty shock at the end of the month !
Like the appliances, make sure it's in good service condition before you start earning a lower income. If need be, change the car for a smaller model and save £££'s on Insurance, Tax and Petrol.
Let your Bank know
Although I really don't get on with my Bank, I am in part to blame. If you don't tell them your intentions, they'll still assume you're earning good money etc. It'll come as a shock to them when you're in trouble and you're less likely to find them helpful in 'business plans' etc.
Six month's before
If you're lucky enough to have this time, live those six month's on the money you're likely to be living on after downshifting.
A few days before
Have a Party. It's a bit like a Marriage Day when you do it. It is a completely new life and the first few days of it you'll be feeling very disorientaed. So throw caution to the wind for one night early and CELEBRATE IT !