You won’t need to have a degree in accounting if your goal is to stay ontop of your financial management. All you need is a bit of discipline, and the drive to both preserve and expand the capital you have. With this fiscal advice, our hope is that you’ll expand the financial assets you already have using means you feel comfortable utilizing.
First, let’s cut the fat. Trimming wasted spend is easy if you know what you’re looking for. Avoid anything that promises an easy way to make money, and don’t fall into the Internet marketing trap either. You can choose any venture, even Internet marketing, but you should realize upfront there are no shortcuts.
If your needs are more immediate, the next step you need to take is to stop paying full price for the goods you buy. Stop any form of brand loyalty you might have and trim some coupons. Also remember that you don’t have to cut your favorite brands entirely. If you’re used to Knudson, for example, you can buy generic when you have the coupons to do so. If you have the opportunity to save money with a simple switch, don’t hesitate! It’s only once, and you might find the generic brand has no substantive changes to the product.
The next step to tackle is credit history, which can be time consuming. Claims that a company can quickly repair bad credit histories are usually false or built on very specific premises. These companies often embellish their claims, or make statements that aren’t accurate or relevant to your situation. Because there is no guarantee that the company will be successful, it can be easy to suggestion sell someone on the service. In reality, there is every possibility the company is lying outright.
Another key area of concern for amateurs is investment fees. Many amateurs use financial advisors, but they don’t foresee the fees that can whittle their life savings away. Avoid any brokers who charge high commissions for their work, and look for funds with low management costs.
When it comes to credit, it’s best if you could use between two and four credit cards if you want your report to show the best score possible. Also try to realize that building great credit takes time. If you can’t manage your finances with four credit cards, downsize. Start with two, then upgrade to a third or fourth as needed.
If you are married, whichever spouse has the best credit ratings should be the one who applies for loans. The other should focus on rebuilding his or her credit using credit cards and making payments on time. The moment you get a reasonable score, you may want to consider applying for a loan to help maintain and grow it.
When your credit cards become difficult to pay off, stop putting money on them. Eliminate expenses that aren’t necessary to your survival and look for other ways to boost your income in the meantime. If you cannot live with certain commodities, find other means to pay for them.
Finally, start a savings account now. Deposit money into this account at regular intervals and you’ll slowly find yourself in a position of financial stability. Building a cushion against the unforeseen is one of the hardest tasks most people do. Then you can use your own money to shield you from financial hardship instead of taking out a loan.
If you want to manage your finances better, all you need to do is set some practical goals and think ahead. You can do it! Common sense spending and saving, combined with a bit of helpful advice can lead to financial stability. It starts with a budge, but you’ll learn over time how to lower risk and set money aside for more than a rainy day.