Three Easy Ways to Manage your Money
No matter how old you are or what your income is, there are a few general rules of thumb that are very helpful when it comes to managing your money.
Make a budget. This isn't as easy as it may sound. Many people have never made a budget or have abandoned it after only a few weeks. Start by keeping a close record of every dollar you spend. Don't forget to include small daily cash purchases as these can add up quickly. After tracking your spending habits, look for red flags. Are you spending too much eating out at lunch? Is your cell phone bill too high? Make a budget by spending everything on paper before the month even starts. This will help you keep on track.
Spend less than you make. Another obvious statement that is also very profound. To help balance your financial equation, you may need to cut your expenses and/or increase your income. Look for ways to reduce your spending. You'll be amazed at how even little things can add up to a lot over an entire month.
Set goals. By making a plan, and writing it down on paper, your are much more likely to succeed. Or, you can use an online tool.