Money is a huge part of life. It’s not what life is “all about,” and there may be many things it “cannot buy” but on the other hand, it’s a tool that we must constantly use almost every day of our lives. Learning to manage it well means getting bigger benefits out of your labor, which after all, is translating into money.
Whether for personal or business reasons, we all do well to acquire new money management skills. Wiser use of our resources can take the strain off and make life more enjoyable.
Here are 7 top tips to help you be a better money manager in 2019:
1. Track Income Day By Day
Want to encourage yourself to keep on working hard and to make and meet income threshold goals? Tabulate how much money you made each day and write it on your wall calendar. Then keep adding up a running tab of your monthly earnings, updating it day by day on the calendar too.
2. Track Your Spending
To avoid overspending, nothing works better than to simply force yourself to be constantly aware of every pound and ever schilling you spend. Carry a small notebook with you to write down cash purchases, keep all receipts, and spend a few minutes at the end of every day entering your purchases into a computer spreadsheet, which should be integrated into your budget format.
3. Research Financing Options
While you don’t ever want to be in need of a fast cash loan – or any loan, it often happens in this life that a financial crunch may necessitate financing. But don’t wait till the last minute and then scramble around looking for options, check out loanpig here! You’ll find plenty of information on all kinds of direct lender loans.
4. The Savings Are Off Limits!
Formulate a plan on how much you will put away each month or out of each paycheck, and stick with it “religiously.” Never skimp on saving and never withdraw from your savings unless you have absolutely no choice. You are often better off owing money on one end and having other money saved simultaneously than emptying your savings to avoid taking out a loan – because it leaves you defenseless when a true emergency hits.
5. Budget Realistically
Setting unrealistic goals on your budget isn’t going to help anything. In fact, it will raise false expectations, lead to wide divergences between actual and projected budgeting, and ultimately leave you feeling depressed. Far better to estimate expenses a little on the high side and income a little on the low side and end up doing better than planned – or at least on target.
6. Don’t Go Spartan
Another budgeting mistake people make is to cut out all the entertainment and non-essentials to the point that there is basically zero fun built into the budget. Then, when boredom and temptation get too strong, boom, that Spartan-like budget is hopelessly broken. Build in a reasonable number of perks and rewards into your budget from the get-go.
7. Don’t Go 100% Cashless
We live in an increasingly cashless society – and it makes sense to use credit cards or debit cards for the majority of your purchases. It’s more convenient, automates expense tracking if you have online banking, and may let you earn cash back rewards. But it’s also smart to use cash for small scale buys, to have it on hand for tips, and to pile up your change in a jar to save for a special year-end purchase.
Learning the tips, tricks and principles that will help you manage your money better should be a major goal for 2019. These seven tips can help you get off to a great start!
