How to manage your expenses
A lot of ordinary people have done something they never thought they would do. They let their expenses out of control. This leads to all sorts of other problems such as lack of savings and debt. Learn some simple ways to get your money back under your control!
Knowing your costs
The first thing you have to do is find out exactly what you spend money every month. You may think you know, because you are the person who writes the checks. However, you will be amazed by how many people do not really have a clear idea of how they spend their money. Without an understanding of your budget (or lack of one), it is almost impossible to handle.
You can use a spreadsheet printed piece of paper or an online budget calculator to help determine where your money goes each month. Sit with your bank and credit cards and force your group expenses by category.
Calculate your fixed expenses. These are things like rent or mortgage, car payments and insurance.
Then look at public services. This refers to electricity, Internet, and phone bill. This is a little harder because some of these things vary from month to month. Try to get an average, but also consider the months of high and low months.
Consider purchasing. This usually includes not only food but also other things that happen to pick up in the grocery store, such as cleaning products and personal hygiene. If possible, try to figure out what you really spend on food, and what you spend on other things. This is because you can find cheaper ways to buy non-food items in the grocery store.
Gasoline and transportation has become a huge expense lately. He can not even realize how much you spend each month, and probably only fill up automatically when needed.
Entertainment such as movies and eating out are part of life. However, they are a way to run a lot of expenses you may be able to reduce.
Now comes the hard part. You may think you know what you spend on shopping trips scheduled each month. But what about the quick stops at the convenience store that end up costing more than his regular visits to a grocery store or discount? This is where many families tend to spend more than you should!
When you know your expenses, you can handle!
The practice of actually drawing the monthly expenses tend to give many people an "ah-ha" moment.
For example, I do not think I spent at the supermarket. But I forgot to include two or three stops he made every week at the corner drugstore or convenience store items like bread, soda, and shampoo!
By planning my regular grocery trips better, and make sure he had stocked up on what I use, I managed to save about $ 50 per week, without sacrificing anything in reality.
When planning trips planned to a store and discount store, which could eliminate virtually all the "convenience" shopping. Was not really uncomfortable, because it can cut the extra trips as well. Skip additional trips also helped me save a little money in my account of gasoline.
I did not need to run out of paper towels or shampoo or ketchup, because I had stored in them, and were bought at a lower price. Also, I tended to buy extra things in my travels additional momentum. I was paying for convenience, and buying on impulse, that got me into trouble.
Savings of $ 50 per week, amounting to $ 2.400 a year! That money would better served by paying credit cards or sitting in an emergency fund.
Even if you can only cut $ 50 a month, so almost everyone can, you can save $ 600 a year. I think the savings would justify a few minutes of time for almost everyone I know.