Struggling with money is something that millions of people go through every day. Your journeytobillions can’t start when the most common money tips aren’t followed. A little bit of effort goes a long way when you need to make a positive financial impact. Here are three of the best ways to make it possible without affecting your current lifestyle.
3. Stay Away From Shopping Sprees
Online shopping has made shopping convenient in more than one way. This leads to late night impulse buying, often aided by deals that reward frequent shopping. Before you know it, half of your bank account is used to buy things you don’t need.
The end of the year Christmas rush is the most notorious for this type of behavior. Between October to November, people spend an unbelievable amount of money on things. Limiting your online shopping is one way to avoid this trap, but there is also the option of using a preloaded gift card to online shop. By setting a specific budget, you’ll never go over an amount you don’t need to spend.
Using a gift card is an alternative that should be combined with better overall budgeting.
2. Plan Your Entertainment Budget
Planned dates and parties are not a big deal. It’s the impromptu dates and parties that always end up costing you a small fortune. The one thing that is lost with indulging in entertainment is the time lost. This can sometimes be more important than the actual spending on entertainment. Have your impromptu entertainment habits kept you from completing a work project or school assignment? Have your recent paychecks been smaller than usual due to your entertainment habits eating up too much time? These are things you need to pay attention to.
An entertainment budget is more about the expectations of financial responsibility than it is control. Having a surprise night on the town is normal, but there needs to be a way for you to track when it is getting out of hand. A planned entertainment budget will let you know when it is time to pull in the reigns. Both time and money are saved with this type of budget.
1. Are The Bills Paid?
Money management starts by paying the debts you owe. Bills should be considered debts, and is a fundamental way to change your mentality about their importance. Prioritize paying all debts on time rather than waiting until the last minute. When you make a debt urgent, it leaves little room to mismanage money that is meant for other resources. That means debt money should never mix with entertainment or shopping money.
Your ability to handle bills will determine how well your entire budget works. There is no way to maintain good financial well being while ignoring money that you owe.
Understand your money priorities so that there are no surprises. No financial estimates are necessary when you already know what goes in and comes out of your accounts. Managing money intelligently is a skill that takes a lot of practice.