Bossy! Magazine March 2016 | Page 13

Necessity or Commodity? How To Manage Your Personal Expenses By Sonya Watts

Managing money is a tough call. The first thing you need to do is to identify where is the border between your needs, and the land of whims and proclivities. The lines are sometimes blurred, but this usually happens with the consent of our cunning mind. Be aware of your habits and see how they affect your financial picture. The thing is, we are not born with money management skills we can rise above our predicament. You want to avoid the never-ending cycle of bad decisions, overspending, and a sense of losing control, do you not?

On a budget

Making a budget is hard, if not impossible without planning. This is a long-term commitment, something that does not bring instant gratification. Here lies the reason why so many people abandon this crucial goal. But, you should not think of saving as a great sacrifice and have the feeling of missing out. It is about being responsible and taking control of your life. To make it happen, it is of the utmost importance to track your spending. Keeping every receipt is tedious activity, but there are many killer applications that will help you stay on track. The ultimate goal, of course, is to spend less than you earn.

We have an emergency

Set aside a fixed amount of money each month and let it add up. You never know when your car might break down or whether you will get seriously ill. Creating an emergency fund acts like a buffer against financial shocks and other pitfalls. If you cannot seem to allocate any funds, try to increase your income. There is a myriad of ways to earnsome green online, from writing a blog to selling your household items.

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