How you
manage, save and spend your money can have huge impact on your
life. The most important is keep learning how to manage your money in the exact way and understand where your money it’s going to.
The best
way to manage your money and stay out of debt and have a strategy to settle
everything consistently before the expenses arises.
Setting Financial Goals
Financial goals often
fall into short term and long term categories. Short term goals may be ones you
want to achieve in one or two years, such as finishing your education or
getting married. Long term goals may take more time to reach probably five
years or more to be in the position to buy a home and much longer if you’re
talking about a secure retirement or paying for your children’s college
education.
You
are the only one who can set your goals. Sit down with a pen and paper and
"brainstorm" about your needs next month, next year and in the next
10 to 20 years. In a short time, you'll have a list of financial goals.
Savings and Investing
You can
use your money to create more money. The money you save can work for you by
earning interest at a bank or other financial institution, or by being invested
in companies. When you invest in a company, you buy stock or bonds issued by
that company. These are called investments.
Short
term money can be kept in an insured saving account, where there is no risk of
losing the money and where you can get easily when you need it. Saving accounts
keep your money safe and the interest it earns helps it grow.
Probably you want
to invest the money you are saving for long term goals in uninsured investments
such as stocks, bond or mutual funds. You can find out more about these options
by talking to a brokerage, bank or investment advisor.
Insurance
Don’t skimp on insurance because it can help you protect the
things you own against unforeseen events. By searching and finding carefully
for the insurance you need, you can find lower premiums for example the cost of
the insurance, usually paid monthly, quarterly, semi-annually or annually. What you need to aware is getting
your own health insurance, life insurance, personal insurance or paying medical bills without insurance, costs a
lot more.
Manage money wisely by follow these tips:
·
Establish
your financially
·
Start budgeting
·
Save
money
·
Beware
of credit card debt
·
Shop
wisely
·
Pay cash
·
Spend
less than you make
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