No matter how much cash flow there is coming in, sometimes life just gets the better of us and we find ourselves without money for key events in our lives.
If that sounds all-too-familiar, and you’re reaching the bottom of your bank account weeks before your next paycheck, then read on for some tips on how to regain control of your finances.
#1 Keep Track
In the same way, you would keep control of your business’ spending, it’s important to monitor the ingoings and outgoings of your bank account.
If you consistently run out of money and don’t know why then start itemizing your daily spending. Are you regularly over your phone data allowance?
Has a bill increased without you noticing? Or are you frittering money away without realizing where it’s going? Keeping a money diary for a month will allow you to see where the small amounts are going that can so quickly add up.
#2 Don’t Keep it to Yourself
Find a friend, partner, or family member that you can talk to about it. They might well have been in a similar position themselves and be able to offer you advice. There’s no shame in looking for personal loan options as well.
Whether you are looking for Atlantic bail Bonds or just a personal loan to clear some debt, it’s worth researching all your options. Consolidating your debt might be the answer rather than having multiple monthly payments which are all accruing different amounts of interest.
#3 Make a Budget
Sounds pretty obvious, right? But so many people who are struggling with personal finance don’t think to actually sit down and work out what’s coming in and out of their accounts every month.
When you’ve added up all your bills and can see on paper or in a spreadsheet exactly where everything is accounted for, you’ll find it much easier to start being accountable for your finances.
#4 The 30% Rule
Use 30% of your salary as your own money for going out, socializing and spending however you like. This should leave you with enough to pay for the necessities. Although theoretically spending no money and living a frugal existence seems achievable, in practice you’ll just come to resent yourself for putting money away and end up going on an even bigger spree.
Try setting up an alternative bank account. Whenever your wages come in, transfer your 30% spending money. That way you won’t accidentally go into the money you’ve earmarked for savings and bills.
#5 Use Technology
There are some great apps out there that can really make a difference to your saving potential. If you (like the rest of us) spend a lot of time glued to your phone, channel that into taking charge of your finances.
Have a look for apps which will help you save. There are ones which round up the amount you spend to the nearest penny or cent and put the remainder in a savings account or others that send you alerts and reminders for your saving.
However you do it, don’t let your personal finances get the better of you. Use our tips to give yourself a head start into making your money work for you.
What are you doing to get control of your finances?