Simpler Solutions For Managing Your Money
By Gordon Hinksworth
admin[at]whatcruises.com
http://www.paydayxl.com
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Let’s face it, coming up with smart and simple ways of saving money takes
thinking that is a bit more creative.
Use some of these shortcuts to managing your finances. They are guaranteed
to save you time and money.
Trick your mind into saving
Can’t always come up with where your money goes? There is a simple solution:
Trick your own mind into spending less and saving more.
If you are up for a challenge, allocate yourself a weekly allowance.
Put a set amount of allowance into an envelope and determine that this
will be all you will be allowed to spend for any given week. Next, divide
your allowance to take care of your expenses. When you get down to the
last $20, that’s the amount you put into your emergency fund. When the
money is gone, there will be no more until next week.
Each payday, allocate a percentage to go into a secret fund used only
for emergencies. When it’s crunch time, you will know it’s there.
Establish one dresser drawer just to toss single dollar bills. This way
when the pizza man arrives, you will have the singles handy and won’t
need to break the larger dollar amounts. This discipline forces your mind
to think larger amounts and to save larger amounts. You get into the habit
of spending only the singles. This works!
To control your credit card debt, carry just one card and pay it off
each month. If you are tempted to over spend, the credit card goes into
the safe where you only stash your emergency fund. When crunch day comes
you have a credit card you can use that will always be in good standing.
Jot down expenses in a notebook and tally them at the end of each week
to see if you are over or under your budget estimates. Build in more than
you need so that you will always have a cushion in case of a cash emergency.
Tracking your spending takes some work but if you take careful notes,
you will always be able to see one or two areas where you’re leaking cash.
You can then come up with an extra $20 or more per week in savings. That’s
$1,000 a year in real money for an emergency fund.
More tricks to add to your own savings routine: Have your paycheck automatically
deposited directly to savings rather than to your checking account. You
will transfer money to pay your bills, but you’ll think twice about withdrawing
additional cash.
Make ONLY one ATM withdrawal each week. Subtract your credit card purchases
immediately from your checking account so you’re not surprised once the
bill arrives.
When you pay off a loan, add the amount to payments you’re already making
to the next lender on your list. You can also send the money to a saving
or investment account earmarked for a house, a vacation or a new car and
this money will be made available in case of a money emergency.
About the Author: Gordon Hinksworth operates the website
Payday XL which a site dedicated to researching Payday related topics
with the very latest Payday, Cash and Money related news and views. For
more details please visit http://www.paydayxl.com
Source: www.isnare.com
Published - January 2006
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