How to managing money? Money! We can’t underestimate it value. It is because they impact our lifestyle and almost what we are doing.
I understand that sometimes we did not have money to buy things that we like so much. It’s because I am also faced this kind of problems in my life. However, we can take some simple steps to solve this problem from happen in our life. First, you must track your daily expenses for few months.
The way to find out where your money is going is to do a expending diary. In your diary, please take note on everything you spend for a month or at least a week. Then, get to know your daily habits by noticed carefully at your daily money habits. There will likely be a few surprises when you see the result of your tracking by expending diary.
You will probably expenses more money that you imagine. In short, you should understand your daily expenses habits. Second, compare your money in and out from your hand. The best way to control your money in and out is to think about where your money goes each month.
For example you must think about what is your weekly basics spending such as a food, transportation, regular bills such as rents, electricity and frequent spending such as medical expenses and clothing. Then only you can come out with your own budget list that can help you in future financial plan. According to Robert T. Kiyosake, he stated that budget can help you to know your overall spending and can save your money without impacting your everyday needs. All in all, you must understand where you spending your money.
Next, is make your money work for you. To make sure this step work for you, you must identify where you can reduce your expenses and save your money. According to Australian Securities& Investments Commission stated that you must do proper budget according to your needs. Then, make sure you pay for yourself firs, make sure to deduct some saving from your pay and save it an account without any ATM access. Other than that, you can pay important bills only. It’s clear that you must get to know where you need to spend and make sure your money work for you.
In conclusion, money becomes a key of exchange to facilitates trade. So, learning how to manage money is an important preparation for your future. Once you star to manage your money right way, you will find out that other things in your life easy as a ABC.