Managing money is somewhat of an art form and in this day and age it’s difficult to hold on to. Our economy is based on relentless consumption and instant gratification, which makes saving and living within your means a difficult challenge.
However, there are ways you can manage your money better right away. Here are seven tips to help you get on top of your finances quick:
1. Sell unnecessary stuff
There’s a good chance your clutter is worth more than you think. Listing an old device to sell on eBay or signing up for an online pawn brokerage could help you get instant cash for stuff you no longer need. It’s probably the most convenient way to inject cash back into your pocket.
2. Cash Loans
A short term injection of cash could help you manage your finances better. You could apply for a cash loan from a service like Cash Stop to pay the bills, meet business obligations, and buy necessities before your pay check arrives. A small loan you can easily pay back will help you cover the gaps in your finances efficiently.
3. Track your spending
Downloading an app takes less than 30 seconds, and that’s all you need to start tracking your daily and weekly spending. Mint is probably the best app for regular budgets, but you could take a DIY approach and create a spreadsheet on your phone. The trick is to make the tracker automated and easily accessible, so that you never miss a dime of spending. Tracking your spending is a great way to become instantly conservative and more analytical with your spending habits.
4. Join your accounts with your partner
A joint account doubles your resources and gives you a better base to manage your cash flows. If your partner is better at managing cash than you, just delegate all your financial responsibilities to them. A joint account makes it easier to spend on household bills and children.
5. Consolidate your debts
The average person deals with various forms of debt with different rates of interest. Probably the best way to manage your finances is to bring all your loans and credit card balances together and pay them off with a single loan. By consolidating your debt, you make payments easier to manage and reduce the overall interest rate on your borrowings.
6. Get rid of recurring payments
Recurring payments are a drain on your bank account. Most people sign up to many unnecessary subscriptions and memberships, and eventually keep paying fees years after they’ve stopped using the service. Weed out these frivolous expenses and cut your recurring bills down to the basics.
7. Create an emergency fund
Every family needs an emergency fund. This is a pool of cash that’s big enough to sustain your family for six months. An emergency fund can help you meet sudden medical expenses and deal with professional hiccups without denting your lifestyle. As a parent, it is your responsibility to keep this emergency fund well-funded and secure.
8. Use cash
Using cash instead of bank cards is a great way to control your urge to spend. If you give yourself $50, you can stick to a budget more easily. Try to take a fixed amount every time you go grocery shopping or redecorating.
By using cash, selling old stuff, and modifying your debt, you can instantly take a step closer to financial freedom.