Managing your money the right way

         All of us eagerly look forward to that day every month! Yes, you are right. The day the salary gets credited to the bank account. But is there any excitement beyond that. The EMIs and credit dues are queued up and all the money has gone into thin air in a matter of two to three days! Then there is the savior of our lives – credit cards.

So how really do we hold on to this elusive stuff in our hand – MONEY!!!

Let’s look into some ways which can help us in holding on to the hard-earned money stick to us throughout a month.

  • Formulate a budget. It may sound unrealistic or something which cannot be achieved. But certain things do work out with practice. Creating a budget helps in analyzing what’s important and what’s not.
  • Try to analyze the expenditure pattern you currently have; let us find this with a bit of homework along with the bills and statements of the last six months or at least the last three months’. You get a fair idea of your pattern.
  • Compare the expenditure with the budget. This is where you come to know the disparity in the amount that has been spent unnecessarily.
  • Know what your income is. You might roughly have an idea whether your income crosses the expenditure or it stays within the limits of your income. If it falls into the second category, congratulations. You are already doing a good job.
  • If you aren’t then trying to find ways to bring down unnecessary expenses.
  • Though every one of us needs a bit of change and pampering – it might be in the form of eating out, spending a day in the salon or buying a favorite outfit – consider reducing the numbers of trips till you are in control of your expenses.
  • Though it might sound a cliché’, have some emergency fund set aside to manage unexpected situations.
  • Plan well for your financial goals – long and short term goals. Set aside some money for the future.
  • Ensure that a decent amount of your earning gets deposited as savings.
  • Maintain separate accounts for savings and expenditure, which will help you in overcoming the temptation to pull out the money from the account.
  • Try to pay off your debts, as early as possible or within the stipulated time every time.
  • Make use of apps and add a little money to your wallets to prevent the month end crunch.
  • Do not hesitate to take advice. Refer to sources which give you an idea.

With all these, you are ready to slay the day with confidence!


    Vanessa Chambers