It’s really hard to live a life when you are too dependent on your paychecks. Having your life decisions depend so much on the date of your next paycheck can be frustrating.
Things like going out for a dinner with your friends or catching up the rock concert in town needs to be cancelled!
The country’s economy might be doing well, but that does not mean you don’t have to save right? Isn’t this a very serious problem to look upon to?
Well, if you’re spending more than you are earning, then naturally you’re bound to run out of cash. The good thing for you is it is still not late. Since you have realized it now you can turn the tables down. We have noted some simple steps which one can take up and easily control his spending with little efforts.
- Know yourself:
Are you a spendthrift? Do you think your credit card is a gift from the heaven, and that you could swipe it for everything you like?
Maybe you should change your thought, and accept the fact that credit card will only increase the credit burden on you.
It doesn’t matter that you cannot purchase a new vehicle, or shift to a bigger house, etc. at the moment. You are not supposed to do so even.
We are not saying that, you should stay in the same conditions as you are but there is always a window for Upgradation which opens slowly.
Wait for it! You can be happy with what you have and work for more. Practice this for some time and you will find things changing for better.
- Work on your expenses:
Make it a habit, to list down your expenses and income on a daily basis. That helps to keep a through track on what is coming in and what is going out.
List down your fixed expenses for every month as in your bills, rent, transport charges, etc. and calculate whether there is anything remaining. If it isn’t then you need to pay little more attention on your expenses.
- Start to Budget :
A Budget helps you to plan your future financial actions and controls them. If you haven’t made any budget yet and if your expenses are on an “all time high” then it is a high time you should start preparing a budget.
Start finding sources which are costing you a lot and come up with some alternatives to it.
E.g.: Hitting a club or a “Friday Night Dinner”, if is going very tough on you then plan out a dinner at your home, cook great meals. That’s how you enjoy life and when your salary is about to get nil.
- Use Cash More:
Use cash for your daily expenses, because it will help you keep track on your expenses and prevent you from spending recklessly.
Withdraw sufficient cash you need at the start of the month. Using card will motivate you spend carelessly without understanding its consequences and some it may also happen that you will end up buying something which you actually don’t need it.
Try not going to any ATM before the week end otherwise you will only run out of cash and nothing else!
- Take baby steps:
Remember, don’t directly climb a big mountain, start with small then increase it slowly.
Every amount counts! Save coins, every penny you can but don’t let it go waste. Avoid cabs, if your workplace is not so far and you can reach your office on foot then do it. Cancel your gym membership if you aren’t using it. Try paying your rent bills for 3 months in advance, that shall help you avail some uncertain discounts.
Initially it may cause you a lot of problem, but once you get used to it then you may get habitual to it.
Remember, that these small steps will ultimately help you to hold on to your monthly salary till the end.
- Achieve bigger goals:
Being prudent and wisely managing your money is a continuous process and is the need of the hour.
If you have managed to save a decent amount till the month end then you have achieved your goal.
But don’t stop here itself. Start saving for something big, to fulfill your dreams, start saving from now.
A big house, a luxury car, etc. Go for it!
You have done well, but don’t stop it in the mid, it is an ongoing process.