you will agree with me that making money is not easy but for most people being able to make good or judicious use of the little or much that they earn is a tougher herculean task! but don’t worry I’m here to advice you;
- Make a budget and stick to it.
Immediately you get notification of payment of your salary, take a few
minutes to reflect deeply and write an explicit budget. Write down all
expenses, essential and trivial, that you propose to make for that
month. Don’t leave excess cash as miscellaneous, even if it is for
recreation or outings, always try to tie something to your cash.
- Reverse your thinking; Pay yourself first
Get this. After you get paid for performing various duties and
responsibilities at work, you pay everybody else but yourself. Isn’t
that just wrong? Your mechanic, food vendor and many other
individuals get a slice of the cake while you get only the icing. Take
out a certain percentage monthly (say 15%) and stash it in an
account that you don’t access regularly. This will can become the
spine for future investments or just extra cash for exigencies.
- Reduce your expenses
There are some unnecessary activities that you spend excessively on
monthly. It is quite important to cut these short while also making
the best of expedient purchases. This will include you trying to make
the best bargains from your groceries, internet payment and other
expenses. Do your research, ask friends where they shop and compare
prices. You will be surprised at the great bargains you are currently
missing out on.
- Have a project or reason tied to your saving
When you save, have a particular project that you are saving towards.
It might be investing in stocks, buying a car, getting a better
apartment, starting a professional course or seed money for a small
business. It’s your money so it’s your choice.
If you do not have a goal to your saving, there is huge tendency you
will spend the lot on petty activities that you might later regret.