Tips for Successful Personal Finance Management

moneyOver the years, I have had the challenge of how to manage my money or increase my income. After countless hours of internet searches and conversations with friends and family, I discovered the world of personal finance management.

Personal finance is the process of planning and managing our money as individuals. It involves things like budgeting for those important things, saving, investing and identifying ways to generate income. Learning how to look for ways to cut costs, be it by speaking to AutoInsureSavings.org about who can insure your car or reorganizing what you buy in a month, can be very important.

Here are a few tips I’ve found to be helpful in all matters money that may  be helpful to you as well.

Have a Money Vision Board

A vision board is a visual representation of goals dreams and desires. I find these very fun to do for almost anything that I am trying to accomplish with in my life. It is also appealing if you are a creative like me.

For my financial vision board, I print and cut out pictures of things that I want to buy. That way, when I look at it, I am reminded of what I want and motivated to stay on track with my income. It can be anything from pictures of a holiday scene if I want to take a vacation or that new pair of expensive shoes that I have been eyeing at the store.

Set Specific Financial Goals

Setting specific goals for anything I want to achieve in life has proved time and time again to be very helpful in focusing and staying motivated. Setting financial goals has therefore become a very important part of my life. This means writing down specific figures and dates of how much money I want to spend and when.

In the words of Micahael Meoli, if you know you’ve got an insurance payment coming, make sure to have that cash on hand for it well ahead of time. I have found it especially helpful with managing my debt.

Every month, I write down the specific amount of money I want to use to pay off my debts and lessen the load over time. I set dates as well. That way, when I get my paycheck, I already know how much I have to spend on my needs and other expenses.

Budget with Discipline

I was first exposed to budgeting when I was in high-school and started getting a weekly allowance. I was so excited at the idea of having my own money to spend it however I wanted. However, it didn’t take long before I found myself running out of money by the middle of the week and having nothing for weekend outings with my friends.

Fast-forward to today, I use the budgeting rule where 50% of my income goes to needs like bills and food, 20% goes to savings and 30% goes to wants. It is easy to apply but most importantly, sticking to it has helped me achieve a lot of my financial goals.

Always Look for Income Opportunities

Life is constantly changing and so do the things I want and need. Since the state of the economy is completely out of my control, I have found it helpful to have an attitude where I’m always looking to increase my income. Those extra few dollars at the end of the week or month could go a long way into saving for my next summer vacation or increasing my credit status.

I have learnt to negotiate for my salary and benefits. I also look at the internet to find tasks where I can use my skills during my extra free time to earn extra money.

With these few tips at hand, I have found that my personal finances have improved over the years. It is never too late to start, and at the end of the day, a better state of my finances leads to less stress in my life and I can focus more on doing things I like and enjoy.

Shift Frequency © 2021 – Tips for Successful
Personal Finance Management

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