Whether you’re in deep trouble financially or your money situation is in relatively good shape, there are always things you can do to improve your money situation and maximize what you have and how you use it. The more you can do to take control of your money right now has a direct effect on how you live your life in the future. Ignoring it will only cause you problems.
So here are a few things you can start doing now that will help you toward that goal of gaining more control and ensuring that your financial future is as bright as it can be.
5 Ways to Improve Your Money Situation
Build an Emergency Fund
Building an emergency fund can entirely change how you approach your finances. No longer will you have to rely on credit to get out of a jam and then struggle for months or even years to pay off that emergency. When you have a solid emergency fund, you can deal with it in cash and then go on with your life.
Track Your Spending
Write down every penny you spend for one month. Enter it in a small notebook you carry with you or even as a note in your smartphone. Then, review what you’ve spent your money on and how much. You may be surprised. Once you know how you spend money you know where you can tweak your spending to maximize what you have. I recommend this as a first step toward doing a written budget every month.
Do a Written Budget
When you take the time to sit down and make a written budget every single month, you’re planning how you will use your money in the near future instead of wondering where it all went in the recent past. When every dollar has a name and a purpose, you waste less, save more, and your money doesn’t trickle away out of a leaky faucet that’s not being maintained.
Sell Anything That Doesn’t Add Value to Your Life
Take an inventory of all the stuff you have. Look at everything in the attic, the basement, the closets, and that storage unit you’ve been renting month after month. You don’t need most of that stuff and probably haven’t used it in a long time anyway. All that stuff does is take up room. It adds no value to your life. Sell it on Ebay, have a yard sale, or give it to charity. When you simplify by getting rid of all the junk and clutter in your life, you become much more free.
Start Paying Yourself First
Actually I believe in paying tithes first. But after that your first priority should be to save money for you and your family before paying any bills. Decide on a percentage and stick with it. You can even have it automatically deposited to savings every month so you don’t have to struggle with making that decision every time you get paid. When it’s automatic, you don’t even miss it.
Always Have a Plan For Your Money Situation
I say this all the time and I’ll keep saying it until everybody gets it; When you have a good plan for your money and you work that plan, you WILL start succeeding with money. You WILL prosper.
So start taking control now and you will continue to see the benefits long into the future.
What steps have you taken to take control of your money?
What benefits have you seen?
Let me know in the comments.
Are You Leaking Money?
5 Ways to Make Money, Even in a Tough Economy