Yusra3
VIP Contributor
It's easy to get overwhelmed when you're trying to balance your checkbook, pay off debts, and save for the future. But in a world where your credit score is more important than it ever has been, it pays to stay on top of your finances.
To help you simplify your finances and make them easier to manage, here are 9 simple steps:
1. Create a budget that reflects what you need in order to live comfortably and reach your goals.
2. Set aside a designated amount of money every month for specific purposes like saving for retirement or paying down debt that won't be affected by normal monthly expenses like rent or groceries (this is known as a "rainy day" fund).
3. Review your credit report at least once per year and take steps if something looks wrong like identity theft or late payments on other debts. so they don't negatively impact your credit score (do this even if nothing seems out of place!).
4. Avoid making large purchases like cars or expensive electronics until you have enough saved up for those things (and ideally until they could be paid off within two years).
5. Track all of your expenses, including those that may seem "iffy." (i.e., what do you really need to buy?)
6. Cut out wasteful spending that doesn't add value to your life, like cable TV and bottled water (or whatever it is you're doing).
7. Look for ways to make money from wherever you can think about turning unused space in your house into extra income, or selling old clothes you never wear anymore on eBay or Craigslist.
8. Make sure you're saving for retirement and other goals, too!
9. Make sure you've got an emergency fund set up so that if something unexpected happens (like a car repair), or if something unexpected happens with your job/life situation, then at least there's some money saved up in case things get rough financially before they get better again (like if someone loses their job).
To help you simplify your finances and make them easier to manage, here are 9 simple steps:
1. Create a budget that reflects what you need in order to live comfortably and reach your goals.
2. Set aside a designated amount of money every month for specific purposes like saving for retirement or paying down debt that won't be affected by normal monthly expenses like rent or groceries (this is known as a "rainy day" fund).
3. Review your credit report at least once per year and take steps if something looks wrong like identity theft or late payments on other debts. so they don't negatively impact your credit score (do this even if nothing seems out of place!).
4. Avoid making large purchases like cars or expensive electronics until you have enough saved up for those things (and ideally until they could be paid off within two years).
5. Track all of your expenses, including those that may seem "iffy." (i.e., what do you really need to buy?)
6. Cut out wasteful spending that doesn't add value to your life, like cable TV and bottled water (or whatever it is you're doing).
7. Look for ways to make money from wherever you can think about turning unused space in your house into extra income, or selling old clothes you never wear anymore on eBay or Craigslist.
8. Make sure you're saving for retirement and other goals, too!
9. Make sure you've got an emergency fund set up so that if something unexpected happens (like a car repair), or if something unexpected happens with your job/life situation, then at least there's some money saved up in case things get rough financially before they get better again (like if someone loses their job).
