It’s easy to feel overwhelmed by the idea of sorting out your money and tempting to put those bills to one side to be sorted out later. However, if you’re frequently finding out that you’ve little or no money left at the end of the month, and you have to borrow just to stay afloat – you’re probably going to feel anxious and tense most of the time, and that’s no way to live! Here’s how to take control so that you can relax and get on with enjoying life…
Keep records
Yes, it does sound a little dull, and may take some time – but having all your financial details written down will make it much easier to see what’s going wrong, and identify how to get yourself into better shape, money-wise. Every time you buy something, whether it’s your morning latte or a ticket for your daily commute – make a note of what it was and how much it cost. Some people like to use the good old-fashioned notebook and pen method, but you can just as easily create a spreadsheet to record your spending. You could even link your spreadsheet to your smartphone so that making entries is really quick and easy. However you record your expenditure, doing so will make it much easier to get a clear view of where your money is going.
Find ways to save
Having created a record of spending, you’ll probably have discovered that you are spending a lot more than you think on everyday items. Examine your list, and be creative about coming up with ways to spend less. Go to coupon or discount sites to save money on your clothes shopping, and follow the social media pages of your favorite brands to get discounts and special offers. Think about getting in on a car-sharing scheme to save money on your travel costs, and choose groceries that will last for more than just one meal.
Eliminate debts
Make sure you pay off debts that have the highest rate of interest first, as these will cost you the most in the long term. If you’re really struggling with debt, do your research on the possibility of getting what you owe written off – and that doesn’t have to mean bankruptcy. If your monthly repayments are too high for you to manage, contact your creditors to make a new arrangement. It is in their interests to come up with a plan that allows you to pay back what you owe – so they will probably be more accommodating than you expected! Get more ideas on sorting on debts by reading this article.
Cut out credit
Try to avoid using credit cards at all if possible, and if it’s essential – shop around to get the best deals. Some credit cards will reward you with discounts and points that can be used for purchases, so if you must use one, make sure that it is working for you.
Sorting out your finances can seem a bit daunting, but you’ll feel like a weight has been lifted when you’re finished – so start today for a better tomorrow.
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