28 November 2014
Saving is your best defense against bankruptcy. It insulates you from possible financial loss and gives you the ability to expand your finances and create a money-generating business machine that will help you earn extra. Your potential to flexing your base income is augmented in ways that is not confined within the walls of basic employment. You can start up your own business, use it for loan purposes and earn interest on them while being used, among others. But the basics of it all lies in saving – spending less than what you earn and keep something enough for future use and for unforeseen circumstances. This article provides you with ways on how you can effectively maximize your financial resources and helps you manage your money by developing correct habits and outlook suitable for your goal. Ø Wants and Needs – You buy items because you need them. A need is something you cannot take away from a person for these things are vital to his or her very existence and without them, they are categorically considered poor or deprived. Food, shelter, clothing and transportation are the primary examples. In a modern world, car and phone gadgets are a necessary part of a busy working individual. However, unless you are receiving more than $10,000 per month, you basically won’t need to have a $40,000 to $50,000 luxury vehicle. The same is true for your telephone media. Having your own cellular phone is necessary but keeping up with the latest model or buying the all the latest releases are not practical and earns you more points on plunging into a staggering financial downfall. Ø Less Is best – Extravagance is the rule of the kings. While we sometimes need to afford a little affluence in terms of the food we eat, the body pampering devices and accessories, such as clothes and body-relaxing services, we also need to consider that these types of activities should only be reserved for special occasions and for cases when you have some excess left in your household budget. Ø Spend Less; Save More – Spending more than what you earn or produce is a bad habit that most people get used to doing everyday. Allocate a special percentage of your earnings to go into your savings accounts while spending the rest for your day-to-day expenses. Unexpected charges, such as the visitation of your relatives or a house party due to a certain celebration will be there to stay so you need not make some leeway budget on them and save them should situation not arise.
21 November 2014
The value of money cannot be underestimated. In a recent national survey, more than 96% Americans agreed that early monetary savings would help one achieve a fruitful and stable life. Saving is a way of insulating oneself from the many symptoms of health and natural adversity. While an average youth of yesteryears thinks more about short-term financial goals such as purchasing a new pair of signature shoes, owning a new jet ski or a brand new car, statistics show that more and more are starting to realize the importance of keeping a personal savings. Long terms goals are described as goals that have a lasting effect should a person’s present actions be religiously maintained. The following statements are outlined to provide information and tips on how you can start up your money-saving gimmicks and ensure a happy and financially stable future and list the reasons as to why saving money should occupy a greater place in our list of priorities in life. Reasons for Saving: Ø Saving for your Future and Present Needs – Saving today will provide you with flexible financial resources in the future. Keeping at least 20% of your monthly earnings while using the other for your household, personal and unexpected expenses will surely play a big part in your pursuit for a stable future. Ø Saving for an Investment Need – Savings can also be a source of your future capital for engaging in business enterprises. It will provide you more opportunity for venturing on your unexplored talents and earn you a huge potential in increasing your money exponentially. Ø Saving for your Retirement – More than 23% of today’s elderly were shown to have failed in one instance in their lives, to save and strategically used their money for preparing their way to retirement. As a result, these folks extend their entire retirement career working on an equally satisfying job that pays them enough to cover their basic expenses. Keys to Fulfilling your Saving Goals: No matter how good our intentions and objectives for saving are, we should also take note that goals can fall and touched the following baselines or characteristics. Ø Attainability – Goals should be something attainable and one which can be achieved without you doing something extraordinary or illegal. A little amount of patience and hard work are key. Ø Consistency – Changing your goals from time to time due to incidents that may arise in the near future are sure ways to deterring your intention to save. While we need to focus on the present incidents, we also need to take hold of our original intention and continue until you have gained enough leads to get it.
14 November 2014
With the institution of malls, affordability of technology, and rising cost of health care, loans, and rising inflation, it has become very difficult for one to spend less and save money for future use. Current statistics show that banks are showing a considerable decline on each bank account holder’s savings and have shown an increased in the number of withdrawals per month leaving people little money to spend before the next salary strikes their account. Along this fact shows a relative increase in the amount of spending made in private institutions marketing different products. While these facts and a host of temptations are a commonplace scenario in the real world, there are many ways by which you can keep yourself from getting into the hype and aid you in creating and developing your personal and unique habit of saving a few dollars from your basic salary. Ø Compulsive Buying – Given enough money, 7 out of 10 people lure into the idea of buying a personal item they like in a store at a first glance. In a simulated sociological study, people who originally planned on window-shopping ended up buying personal stuff if they are taking their personal bankcards with them. If you are doing window-shopping, limit your spending to a few bucks and try making your list the next time you plan on buying such items. Buy only the store items you need and abandon those that do not satisfy an immediate need. Ø Budgeting – Along with your pursuit to saving money, it is also important to keep an organized and effective, yet reasonable budgeting technique. Budgeting eliminates buying temptations that would tend to build up during malling and help you save money along the process due to preformed lists of items you need to buy. Ø Performing Price Comparison – The World Wide Web provides a great avenue on providing a checklist of prices on specific items that you plan on buying. This is great for you if you are into bulk buying and plan on conducting your malling activity in one place. This will give you a good idea if the usual store from where you usually get all your everyday household needs provides you a reasonable price for specific products. Ø Take All the Convenience At Home – Lunch, snacks, and major meals are something which you can prepare at home. If you are serious on saving money, you can prepare all this from home and get away with some amenities of the gut by replacing soda with water. This is not only beneficial to your pocket but does a great deal for your health as well.
07 November 2014
Saving has always been a way of life for people who believed on its power. These people know that they have to save more money in order to create a more established future. However, as time goes by, more and more people find it hard to save money. They contend that saving is no longer a way of life but a resolution that they have to strictly adhere to just to salt away some amount of money. Some people even insist that it is no longer possible for a person to save more money because most of them are already living paycheck to paycheck. With all the high-prices of commodities these days, saving more money is no longer workable. But the point is that people can indeed save more. How? Here is a list of some modern ways that will let you save more money: 1. Save some percentage from your salary Most money-savers automatically take at least 30% from their salary and save them into their savings account. The basic concept here is that most of us spend whatever amount we have on our paycheck, and maybe even more. If you are able to limit that amount, your expenses will unexplainably get smaller. 2. Pay everything in cash Credit cards had always been a way of life for most consumers. The problem is that they become so comfortable with it that they tend to spend everything on credit. In fact, statistics show that the average family has an average outstanding balance on their credit cards amounting to $7,000. And they even pay almost $1,000 in each year just on the interest charges alone. Hence, because of this comfortable shopping, they forget to keep track of their expenses and accumulate more payables than what they can afford to pay. 3. Set goals Create goals that you really want and not be fickle-minded about it. If there’s a certain amount involved, be specific with the amount, like saying “I will save $5,000 in a year and not around $5,000.” Try to set your goals based on your priorities. Have a period for every goal. 4. Check your company’s retirement plan With your employer plan such as the 401(k) or the 403(b), you can definitely save more money for the future. Here, your company will deduct a percentage of your salary from each paycheck and invest the amount in your choice of instruments—mainly mutual funds. The bottom line is that saving is not just a way of life or a resolution. It’s the ultimate gratification that you get as a fruit of your labor.