Every beginning is perfect but towards the end of the month you need to curb down on all your expenses to get through. Guess this is every ones story each month. As your message alerts you about the salary credit your spirit hits high and you end up spending everything with not even half through the month. You wish you hadn’t done that don’t you??
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New Year is a new beginning. So why don’t you give yourself a new beginning by streamlining your home budget? I mean how about having very relaxed day throughout the month without having to struggle with the stress of finances? Still not convinced? Okay, so imagine having all your expenses previously planned out so you don’t have to feel bad about spending too much on something. You will feel more peaceful and calm about your finances, right?
Now here are 10 tips for you to begin a budget plan from next year.
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- Focus on your spending habits. Yes it is truly fun to walk around buying everything that you wish you had. But your month end will get scarier than a horror movie. Settle out on all your usual expenses like rent, groceries, loans and other necessities and keep some for recreational activities too.
- Keep your budget fixed and find out how much up and down they have gone. Try adjusting with other expenses if you have gone too far from estimated. Analyze what is causing this difference.
- Redirect unnecessary expense towards settling your debts. Try looking closer at expense that can be cut down and do give up on them for your long term benefit.
- Accept that now you have a budget you need to stick to it. It is better rather than trying to pretend like it is okay to spend like water.
- Make weekly expenses compared to monthly. Shorter duration will ensure you stick closer to your expenses than long term.
- Never include extra money such as tax refunds, birthday money, etc in your budget. It is extra and it is always better to save them. Even if you decide to spend it is fine to have it additionally rather than making your budget based on this money.
- If you have a doubt about the exact amount, then always over estimate. Underestimating will cause you to struggle in the last minute. Also do not re-adjust your budget too often.
- Use direct methods to deposit money for saving. This will ensure you do not touch your savings unnecessarily for any reason unless when you are badly in need. Putting the saving in autopilot will mean you don’t even get to see the money which means you will be less tempted to spend that money
- Try paying for groceries and other everyday expenses by cash. It is easy to keep track of cash rather than while paying by card.
- Try maintaining a database. Use online tools and apps to keep track of all your expenses and income for looking at the value often will encourage you to save more.
If you didn’t follow with the budget technique till date, then its time you decide to do so. Have a great year with your money playing well in your hand. Get Smart with your money!