Living in today’s economic climate, we all know just how hard it is to make a buck let alone keep a buck in your pocket or your bank account. Considering that fact that most of us live check to check, this often times leaves us very unprotected from any and all sudden spikes in monetary output. The following courses of action are designed to help one be prepared for many financial surprises.
1. Pay yourself 1st
For many of us pay-day is also known as bill day. As soon as that check hits your bank account, you commence to paying your bills. Your electricity and cable bills are very important, but so are you. Make it a point to pay yourself first before any other bill. What this means is for you to set a certain amount per month or per paycheck that you put into your savings account. Write it into your budget just like all other bills.
2. Make and keep you budget
One can not pay themselves if they don’t have a budget. A budget is a list of all planned expenses and revenues. It is a plan for saving and spending. Anyone can make a budget, but it is so much harder to live by it. Make your budget! Like it, love it, and LIVE it. You won’t be sorry for it.
3. Stay away from credit cards
STAY AWAY FROM CREDIT CARDS!!! Remember credit cards are designed to keep you in debt. The credit card companies only make money if you have a balance to pay. Don’t use or get a credit card unless its life or death. If you don’t have the money to pay for it, don’t buy it at all.
4. Live below your means
As stated in step one, most of us live check to check. This obviously renders one to live in a constant state of financial stress. Living below your means or living below or far below your income level allows you to manage your money and not let your money manage you.