You don’t have to be an expert to manage your money well. By adopting a sensible approach and applying excellent money management principles, you’ll be empowered to exist within your financial limits, while simultaneously building your wealth.
Wait until it’s a good time to sell. If a stock is making you money, and increasing in value, avoid selling it too soon. You can certainly take a second look at stocks that are underperforming and think about moving some of those around.
Track all your spending through the day. Even the small, inconsequential purchases. You may be surprised at what you spend. However, if you forget to keep up with it, it is easy to put it away and let it slip your mind. Try using a whiteboard in your den or home office to document your finances. This way you will be confronted with it often, and the message will stay in your mind.
If you purchase lean protein in large quantities, you will be saving time and funds. But it is only inexpensive if you actually use all that you buy. Save time and energy by dedicating one day to cooking meals for the week utilizing your bulk meat purchase.
Get a good health insurance policy. You never know when you will need a doctor. Start with a good health insurance that corresponds to your needs. An emergency room visit or short hospital stay, plus doctor’s fees, can easily cost $15,000 to $25,000 or more. This will leave a huge hole in your pocket if you do not have insurance.
Instead of only using card that is about to be maxed out you can use two or so credit cards. The payments on a maxed-out account is more than the combined interest of two cards with smaller balances. This won’t be as damaging to your credit score, which can help you to get your credit built if you’re wisely managing two cards.
Do not make charges on a credit card that you are having trouble paying off. Cut down on your expenses in any way that you can, and use an alternative payment method, so you don’t end up reaching or overextending the limit on your credit card. Pay off the full amount before you begin using it again. Afterwards, try to pay off the full amount every month to avoid interest charges.
If debt collectors constantly contact you, then you should know that your debts do legally expire if they are not collected within a certain time frame. Find out when your debts will become obsolete and refuse to pay back anyone who is trying to get money for an expired debt.
If you are contacted by a debt collector, express willingness to negotiate. Your debt was probably purchased for a small amount of money. A collections agency is still making a profit if you pay just some of your balance. Use that information to rid yourself of debt for very little money.
You can get some extra money from a yard or garage sale! It can also be profitable to ask neighbors if they would like you to sell their extra items for a small fee. Creativity is one of the most important factors towards a successful garage sale.
Use compact florescent bulbs in place of incandescent bulbs where you can. Replacing your bulbs will cost more initially, but you will see greater savings in the long run and do your part to help the environment. CFL blubs were specially made to last a much longer period of time than a normal bulb would. You will end up purchasing fewer bulbs and therefore saving money.
Take a little money out of each of your pay checks and put it into savings. It is easier to save money every week rather than waiting to see what you have left when the month is over. If you know you the money is in savings, you will be less likely to try to spend it versus having the money in your account with the intention to save it and being unable to avoid the temptation.
From what you have learned above, it is definitely possible for anyone to live a financially prudent lifestyle and even increase their personal wealth. You have to come up with a plan to reduce debt and save money by coming up with a budget.