Arrange Your Finances In Smart Ways !
Hello Steemit Friends,
Getting your finances in order is a good step to take in life. Don’t wait until you have a pressing event like an upcoming important event to motivate you to put finances in order. When you are a starter in your career think beyond the living expenses and have a potential plan for the future. Below are seven ways that will help you to get your finances in order;
Create A Budget.
A good budget will help you to have a good plan for the future and on how to invest. It will guide you on how to not over spend. You will be able to keep a track of your money. When you set up a budget you will not end up in debt easily and you will have a good credit rating .Setting up a budget will enable you to be accepted for a loan from your bank. You need to work out on the money you spent on your household bills, travel and leisure, friends and family, financial products such as the insurance and the living cost to get started on your budget.
Think About Your Long-Term Goals
As you spend on your personal expenses, keep in mind your life-time goals. When you start setting aside money for your saving then it will become a part of your financial routine .If you need a reminder of your goals, put down the goals to help you remember them as priorities.
Learn To Save More
Learn on how not to over spend for you to be able to save for your future goals. Make a commitment with your finances and follow it through. Learn on how to invest your savings too.
Avoid Expensive Habits
Going out with friends can be a sand trap for your expenses. You will lose track of the amount you are spending and where. If you have a plan of spending regular night outs, make sure you include and work it out in your weekly budget. This will help you avoid unwanted debts and you will be able to stick to your budget.
Pay Down Your Student Loans
If you have one !!, It is important to pay a student that you took to help you clear school fees .Make sure that you don’t break the terms and conditions. It will help you have a good credit history for future mortgages and personal loans. If you have already missed your loan repayment, seek advice from a free debt advice charity.
Find A Money Buddy
Get a friend or a relative with a good financial habit. Talk to them about your plan for the future and the challenges you are facing to achieve your goals .If you find your friend is not struggling with the expenses do not hesitate to pick that friend as your money buddy. You will help each other on how to not overspend to achieve your future goals.
Know Your Credit Score.
Your credit score needs to be exact. This will help you to start a personal financial planning. If your credit score is already healthy, work towards maintaining it to make it better. It will help you to have a potential plan for the future.
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Comments, Resteem and Votes
Much love, Suzana
This article was much needed for me. I need to plan my future and finances better. Thank you!
you are welcome sweetie !!!
Fabulous post @suerisue. I think a lot of us need ideas on how to be better with our money. I am planning a trip to England next summer so what I did was put a jar inside my front door and everytime I have coins laying around in the bottom of my purse or in my pockets I put them in this jar. It is amazing how fast the jar fills up. It is slow and steady but working for me as a saving fund.
Omg i can never keep coins hahaha !! My coins are flying all around my flat. In my case the most important thing is to be able to make more than what i spend to make sure i have savings. That's my goal ! Doesn't have to be much but ever since i started to estimate my income per month, i have been able to control my spending and accumulate excessively. Thank you for your comment :)
Here's another one, keep a buget planner - it's very important ot segregate your expenses and savings and keeping track of your assets.
I created one spreadsheet and kept updating and using it - been using it for over 8 years now and update it everyday. It's probably the best thing I did to help me with my financial planning.
attaching the summary page of my budget planner (blotted out a few personal details) so that you get an idea how this works. It uses formulas and keeps a track of daily expenses
Wow !! You are extremely organized !! I Don't think many people have the patients to keep track like that. What formulas is it ?
Thanks. It's not too complicated once you get a hang of it.
Create individual sheets for months and keep each day's expense under different categories. Later in a summary sheet you can use a formula using "SUMIF" - ie, if the category is 'x', then sum all items together
=SUMIF('Feb-18'!$D$3:$D$300,A2,'Feb-18'!$E$3:$E$300)
In the formula line above, I basically sum all items from columns D3 to D300 (the individual expense amounts) from the worksheet Feb-18 (I keep all my feb expenses here), where the category is A2 (A2 stands for Eating Out/Movies).
in the same way I create formulas for various items from A2,A3 etc.. all the way to A25 - these are the different categories of expense.
Bottom line.. in one page I can see a summar of all my expenses and can even plot a chart in excel like the one above if I want to see my expenses graphically.
I also compare my expenses versus my different income sources and see if I have a net savings or a net deficit from my account for each month.
It might sound like a big thing, it really isn't. Once you learn basics of MS Excel you can easily create one and keep improving it.. Will help you a long way in trakcing your expenses.
I"m also sure you will hav emany easy online tools for this now.. but bottom line is keep a track of your expenses and your savings and investments. It really helps to see the actual numbers..
avoiding expensive habits is really necessary.
there is a famous quote by warren buffet!
If you buy things you don’t need, soon you will have to sell things you need.”
Cheers to that !! I am still working on it unfortunately
I'm broke..
What am I supposed to save :p
Hahahaha Good one !!!!
Having an emergency fund kept aside in savings can be a lifesaver too...
;)
Other than savings, it's also important to invest the savings early.