Money Management

By: Max Hunter
There are a number of ways that people can use to manage money
to stay out of debt and even establish savings over time.

Establish a Budget

The first, and maybe the most important step, is to set a
budget for yourself and stick by it. Take a look at your
household income and outgo. Set the budget up to accommodate
your payday schedule. In other words, if you get paid once a
month, then you have to budget accordingly so that you won’t
run out of money before the end of the month. If you get paid
every two weeks, or every week, figure out which of your bills
have to be paid on each payday. It is absolutely essential to
set some money aside for emergencies. Even if it is only $20
per payday, having some cushion will keep you from having to
borrow money when something unforeseen occurs. There are all
kinds of budget sheets available to help you figure things out
and many of them are free on the Internet. However, it is not
hard to make your own. Just make a list of your income and when
it arrives, as well as a list of what has to be paid when. Check
each item off and date it when it is paid. Don’t forget to
budget adequate amounts for items like food, gas,
entertainment, etc. If you have those items in your budget,
it’s also a good way to track how much you are actually
spending on them each month.

Get Organized

A good way to begin the budgeting process is to sort out all of
your legal and financial papers and file them so you can find
what you need when you need it. For example put bills that are
due on the 10th of the month in one folder, and bills that are
due on the 25th in another folder. Once you have paid a
particular bill, shred it and dispose of it, in order to save
confusion. Any other financial information, like savings
accounts, mutual funds, etc. should also be stored in
appropriately labeled folders. At the first of the year, when
your tax documents start coming in, put them all in one folder
with the tax forms. When April 15 rolls around, you won’t have
to dig through piles of mail on your desk to come up with all
of the appropriate documents and forms. Items like insurance
policies should also be labeled and file so that you can
readily find them if and when you need them.

Find Ways to Save Money

Do some brainstorming about your expenses and how you could
possibly cut back on them. It is wise to write them down on
paper because it is less easy to dismiss them that way. For
example, can you cut down on the amount of gas you use by
taking public transportation? If you eat out often, consider
making more meals at home. Examine your buying habits. Do you
go shopping when you are depressed? Do you go grocery shopping
when you are hungry? Do you purchase items advertised on the
shopping channel without every leaving your easy chair? These
are all practices you can change. Find healthier activities for
when you are feeling down – go for a long walk instead of going
shopping. Make a grocery list and carefully plan what groceries
you need for the coming week, then go to the store and buy them.
Coupons can be advantageous if you buy name brand items, but
store brands are often cheaper in the long run. Watch the
weekly sales flyers in the local newspaper and buy items like
meat when they are on sale. It’s handy to have something in the
freezer to fix, and less costly in the long run than making a
quick trip to the store after work and picking up only what you
need for that night’s meal.

Find Ways to Make More Money

Get an extra part time job, or work overtime at your regular
job, if possible. Clear out your attic or your garage and have
a yard sale. You may be happily surprised at the amount of
money you can bring in. These days, many people make money
selling items through online auction sites like ebay, and don’t
have to sort and tag and have people running all over your yard
for a day. If there is a local farmer’s market, consider
something you can sell there. If you have extra produce from
your garden, or are a good baker, you will find that people are
readily willing to buy things that you can grow or make. If you
make extra money, don’t increase your expenses. Either use it
to pay off bills, or put it away for savings.

Choose Credit Carefully

If you have to have a credit card, shop around for the best
deal. Some credit cards have yearly fees that have to be paid
whether you ever use the card or not. Interest rates vary
widely. Make sure you know what the interest rate is and shop
around for the lowest. If you charge something, pay it off
before the end of the month, then it won’t cost you any
interest on the card. Don’t use more than one credit card. It’s
too easy to get into the cycle of living on the credit cards and
never really paying more than the interest on them. This is a
practice that will get you deeper into debt in the long run.

Payday Loans

If you have an emergency and need to get a payday loan, make
sure you investigate and find the one that is the best deal for
you. The amount of interest charged varies widely from company
to company and so does the repayment period. Find the loan that
gives you the most flexibility for the least fees. Try to never
roll your payday loan over, but pay it off in full by the due
date.

Max Hunter is the author of many credit
related articles. If you are looking for help with Payday loan
or any type of faxless loans please visit us at
http://www.PaydayLoanChoice.com