Career & Finance Fridays
Money & Finances
5 Tips to Manage Your Money Well
Money management is the key to wealth building and financial success. It allows you to live functionally, comfortably, and without stress. It's a small thing, but organizing your finances and spending them intentionally frees you up to live a much more relaxed life.
There's tons of financial advice out there, and so much wisdom available to anyone wanting to look for it. But these 5 easy tips to manage your money well are the ones that transformed my finances, and they'll do the same for you.
- Know what you’re spending. Being on top of your finances starts with understanding them. Create a budget, track your expenses, and review exactly what you’re putting where.
- Any time you splurge, put the same amount you spend into savings or investments. Not only will this force you to build to savings, but it makes you really consider what you spend and whether it’s worth it.
- Do your research. Before you make a big purchase, compare retailers, look for sales, and ask questions. Make sure you’re getting the best deal, in quality and in price.
- Be careful what you put on your credit card. As a rule, if you can’t afford it — don’t buy it. Credit cards, when used carefully, are a great tool to build a financial platform, but when used carelessly, can destroy you.
- Stick to your budget. Adjust your rules if you need to — that’s okay. But whatever number you set, stick to it. Getting in the habit of breaking your rules sets a dangerous precedent.
In an overwhelming sea of financial advice, these 5 tips are ones you need to take hold of. They're simple and easy to start and will change not only your style, but your perspective on money.
Management is everything. It's direction, dedication, and commitment to the future. Don't overthink it. Focus on principles rather than rules, mindset over numbers, and consistency rather than perfection.