SPECIAL SECTION:
PERSONAL FINANCE
TAKE CONTROL OF YOUR
FINANCES
W
orking toward financial goals is high on many
of our priority lists, but it’s often thought that
achieving financial success is out of reach.
According to Bankrate.com, 1 in 4 Americans have more
credit card debt than savings, down 6% from 2015. Saving
doesn’t always come easy, but with a little planning,
determination, and self-control, you can get out of the red.
Creating a budget is the first step in building up your
savings and paying down your debts. Whether you are
saving for the short term (a new pair of shoes), the long term
(college tuition) or for a larger purchase (a house), seeing
where your money goes will help put saving into perspective.
A simple guideline for budgeting is
the 50/20/30 Rule. A tried-and-true
breakdown of monthly expenses, the
50/20/30 rule helps to benchmark
spending across three main categories: fixed
costs, financial goals, and flexible spending. The rule works
by allotting 50 percent of take-home pay to be spent on fixed
costs, 20 percent to be put toward financial goals, and the
remaining 30 percent to be used as flexible spending.