It Might Be Time To Sharpen Up Your Money Management Skills
If you feel like you are constantly running into money troubles, then it may be time to sharpen up on your money management skills. By doing so, you will be well equipped to be successful when it comes to setting and achieving financial goals for yourself. Whether you are looking to save money, cut down on spending, or do more with the money you have, management skills are essential. Here are a few to keep in mind as a way of improving upon your overall financial situation.
Set A Budget
If you do not already have a carefully calculated budget in place, now is the time to make that happen. A weekly or monthly budget will help you to allocate the money you need to spend and save so that you can stay on track with your monetary goals. Creating a budget starts with determining your weekly or monthly pay; from there, you should subtract the essentials such as utilities, rent, and recurring payments out of that amount. The remainder is what you have left to spend or save. Consider setting aside a set percentage of your remaining funds to put into a high interest savings account for long-term growth.
Use Smartphone Apps
If you have a smartphone or tablet, there are some great and free applications out there that may be of assistance. One of the most popular smartphone apps for budgeting and finances these days is called “Mint.” This particular application allows you to sync your bank accounts, credit card accounts, and other financial accounts to your Mint app. From there, the program will track your spending trends throughout the month and send you reports. You can even set up a budget using the app, and it will send you a notification in the event that you are nearing your spending limit for a particular category. This app is free and is currently available on both Android and iPhone devices.
Keep Track Of Your Credit Score
Your credit score can greatly impact your ability to get approved for a loan and to even be considered for certain jobs. Therefore, knowing what your score is and working constantly to improve it is important. The best way to monitor your credit score is to sign up for a credit monitoring service online, though you can obtain a free credit report annually from any of the three major credit bureaus.
You can improve your credit score by paying down debts, making more than the minimum monthly payments on your debts, paying your bills on time, and being responsible with any lines of credit that you may have in your name. Missing payments, making the minimum payment or less on a bill, or even paying late can greatly affect your credit score. You should also be careful when it comes to how many credit cards you have open at any given point in time; it is not necessarily bad to have a few credit cards as long as you are paying on them consistently and keeping a low balance, but having too many credit cards is a great way to fall into a cycle of perpetual debt if you are not careful.
By keeping the above tips and advice in mind, you will have improved upon your existing money management skills in no time.