Simple but must-know ways to handle your money

Systemise your financial practices, and take steps for a better future

14:07 13 August 2014

It is important for every person, regardless of whether they are self employed or employed to enjoy a good lifestyle. Since everyone looks forward for a comfortable life with good financial abilities, you will find most people working hard for the money. However, after they earn the hard earned cash, they never know how they use it since after a short while they are back to borrowing and loans again. This can be hard for anyone who is working constantly hard towards a better financial future, and more importantly for anyone who wants to save for a long term goal. You will also find it hard to handle emergency situations since you never managed your finances well. 

 

Here are some of the ways you can handle your funds for your own good.

 

Maintain a budget. Anytime you start earning, create a list of the things you need against their costs. You can make this on a monthly basis. You don’t have to satisfy all your wants if there is not enough money. A budget will enable you realise how much you spend and to what extent you can minimise this.

 

After that, go for a good saving plan. It is advisable for anyone to save at least 10% of their income. Likewise, choose a saving plan where you can’t retrieve the money easily and where you will be penalized if you fail to save. By accumulating some money in your bank regularly, you start securing your future financial freedom.

 

By sticking to the budget and making it hard to access the savings, you will find that you will be able to know exactly where every coin in your salary goes. This will give you the confidence to save more and handle your funds better. Although at times financial issues can be hard to deal with, always make sure you fall back to your plan in case you go off the rails slightly.