A lot of people struggle with managing their income and their spending. The easy access to our credit
cards and the simple act of swiping a card when purchasing items in stores or the magic click one makes
to place online orders don’t really help us to track where the money goes and if what we purchase are
actually things we really need or just another waste of money. In order to be able to control the urge of
buying stuff every time we go to a store or browsing amazon, the world’s largest online retailer, and any
other online stores, one needs to set goals, make a plan and set some financial strategies as well.
Goals are great to have. They motivate us to work towards fulfilling them. Yet, goals need to be realistic
and achievable. If the goal is unrealistic, you might end up frustrated not being able to achieve it. Once,
you have set your goals, for instance, saving for your emergency fund, purchasing a certain product you
yearn to have, saving for your dream vacation, or learning new skills. Whatever personal goals you have
set, you will need to make a budget based on your income and the basic needs you need to spend
money on. Rent, bills, food, and transportation need to be paid and these are the first to be deducted
from your paycheck. What is left should be directed towards your emergency fund and saving for
fulfilling the goals you set for yourself.
People often find themselves struggle to make ends meet let alone saving money. The fact that one’s
income is way less than their expenditure, creates frustration and giving up the idea of saving and
making a budget. Yet, making a budget based on the amount of your income, will gradually help you
identify the areas where you actually need to minimize or even cut on spending. Moreover, you can find
cheaper alternatives that you can afford. For instance, you might start cooking your meals at home
instead of eating out at restaurants. Shop your own closet instead of going to stores by making new
outfits from the clothes, shoes and accessories you already have.
As you watch your spending style and stick to the budget you created, you can start looking for ways to
make yourself some extra income. Another part time job during the weekend or a couple hours after
work will make a difference. Such earning can be directed towards your saving and goals fund.
For saving money towards emergency fund and personal goals fulfilment, a separate saving account is
recommended as it will help you track how much you spend and how much you have in your saving
account.
Last but not least, having a strict budget, doesn’t mean you are going to abandon all the fun one can
have by spending money. You still can have fun without spending money. Going for a walk, going to a
public beach, watching your favorite show at home with a beloved one or even a lone, reading your
favorite book, and hanging out with friends don’t require much spending.
