How to Manage Your Finances?
Managing money is something only few people are good at. Not everyone earning money uses it wisely. If you are one of those many people and you are having problems to manage your finances, then no need to worry. Here are 10 tips that will help you to use your income sensibly.
10 Tips to Manage Your Finances
1. Keep Track of Monthly Spending
A lot of people aren’t aware about how much they are really spending on their clothing, food, housing or entertainment. It doesn’t matter if you are paying for all of it through cash, credit card or debit card. What really matters isthe total expenditures. Why? So that at the end of the month, you get an idea of how you are putting your money to use.
2. Develop an easy to follow household budget
Make use of the data that you just gathered by calculating your monthly expenses. Then develop a budget that is easy to live with. Keep track of how successfully you follow it every month, which means to keep on tracking your monthly expenses.
3. Keep a budget for savings
The money you save is like a Rainy Day Fund, which comes to use at times of emergencies or unforeseen expenses. Take out some part of your monthly income and put it into savings account. This should be at least 10% of every paycheck. If you happen to have made some extra money put that too in the savings account.
4. Pay bills on time
Try your very best to pay the bills before due date to avoid any late charges. Carelessness will cause you your credit score. The best solution is to pay the bills as soon as you receive them
5. Check your Credit report
The information of your credit report puts a great impact on your financial future. Get this report at least once a year to clear any errors.
6. Get your Credit Score
The three digit credit score informs businesses and lenders how you handle your credit and finances. Scores are between 500 and 850. The greater the number, the better the rating and the more chances you have to get credit at a better rate. You can buy your credit score from any of the credit reporting agencies.
7. Get rid of credit card debt
Credit cards make it easy to be under debts. If the debts you have rise faster than you can pay it, it simply means you are living beyond your limits. Put a stop to use of credit cards and pay off the existing balances. Furthermore, the quicker you pay it off the less interest you have to pay. Remember that every debt is not bad, taking on loans to study or to buy yourself a home is an investment you make for your future.
8. Put free money to your advantage
If your employer is giving contribution match for health savings or retirement savings accounts, be sure that you are giving off much to get maximum match amount. Or else you are missing a great opportunity for free money. Increasing your contributions will lower your taxable earning.
9. Check on your insurance policies
Insurance is an important tool for saving yourself against financial crisis and the premium you pay for may be top of your household expenses. Have a word with your provider to be sure that you have got the right level of protection; this way you won’t be paying too much for coverage.
10. Use authentic financial institutes
Millions of people do not trust on traditional financial institutions or banks to handle their money. Banks in Singapore are guaranteed to be safe up to a max of $50,000 per account. So go ahead! Open as many bank accounts as you want as long as it is below $50,000 per account! Also, be sure to check if there are any fees for their services before selecting an institution.
Did you use to spend like crazy and did not pay your bills on time? If that affected your credit score causing you to be unable to get a loan now, not to worry.
We are the best licensed moneylender you can find in the whole of Singapore. We will be able to provide you with all the cash you need to tide over your crisis. Why are we one of the best moneylenders? This is because of our fast loan processing time, low interest rates and monthly repayment plans.
If you are interested in getting a loan, contact us here. Or fill in a no obligations application form. This form is to allow us to know more about you and speed up the processing time if you choose to take a loan with us in the end.