Whether you have $3 million dollars stashed away somewhere, or you are struggling to pay bills and get a steady income, there are set of principles you should follow no matter what income level you are apart of. When you learn to manage your money wisely, your financial Saving.
Organize Your Finances
This is the most common tip regarding your finances, and should always be first on your list. Organization is key to being successful with anything you do whether it is shopping for groceries or investing in your 401k. No matter what, you need to be on top of your finances and know what to expect in the future. You aren’t going to be able to predict everything and anything life throws at you, but you should always try. This will limit the amount of messes you will have to clean up, and also limit the amount of money you lose in the long run.
Keep Good Records
You never know when you are going to have to go back and re-check a bill or statement that could have a mistake in it. Maybe you don’t know why $4,000 is missing from your bank account, and you want to see if your bank made a mistake. You could buy something online and the company might charge you extra for it, but you simply miss it because you don’t keep good records. You want to make sure you are keeping all of your past receipts so that you can return a purchase if it is a faulty product, or if you simply don’t like it. You also want to write any purchase you make down along with the price, date, and company you purchased it from. This may seem like a tedious thing to do over and over, but it is always worth it in the end. There are also a lot of smart phone apps that allow you to do this automatically and cut the work you have to do. Either way, you want to make sure you are keeping records of anything you do with your finances, big or small.
Look for the Opportunity to Save
Even if you have plenty of money to spend and aren’t worrying about spending the extra money, try to save anyways. You never know when something is going to come up and you are going to need the extra money. If you really aren’t motivated to save the extra money buy taking the few extra minutes to research and look around, then make it a reward system. For all the money you save, you can put it towards something you really want to purchase. After awhile you have the opportunity to buy something you probably would have bought anyways, but now you have the clear mind knowing you aren’t really spending any money considering it is money you saved when buying other products.
Search for Money Making Opportunities
Whether you need the extra money to get from paycheck to paycheck or you simply just want money to spend on the things you want to buy, don’t try and take money from your savings or money that you could have saved for more important things. Disaster can strike at anytime, and you need to be ready. You may be financially stable right now, but tomorrow may not look the same. When you are earning extra money buy selling your old items, or simply working more hours, you have money that you earned to spend. All of your income is money you earned, but it should be put into your savings, bills, groceries, investments, etc. This doesn’t mean you shouldn’t spend any money on yourself, it just means that you should try and make any extra money you can so you don’t have to spend money you don’t have to. You will be more confident in knowing that you aren’t spending away your future, and you won’t end up feeling guilty afterwards.
Predict the Future
Okay, no one can actually predict the future, but this shouldn’t stop you from trying. Always be looking into the future as far as you can without forgetting about the present as well. Try and plan out your financial future into the next 6 months, and then start looking into your short term future. Find out how much money you want saved in 2 months, 2 years, and even 20 years. This doesn’t need to be exact, just a good estimate. You also want to make sure you are including how much you predict you will have to spend, and then add extra for unseen expenses. After awhile you start to see your future unfold and it will come pretty close to your prediction, if you plan well enough.