Taking Care of your finances is like taking care of your health and well being.
Many people believe that money and finance are not so important because money can’t buy happiness.
Well, think again! Are you sure you won’t be happy if you got the money?
Money may not be able to buy you everything but it sure does buy happiness. Why?
Because with money you can help your friends, your family, your relatives who are poor and many more to name just a few.
In fact, money and finance go hand in hand and taking charge of the money you have, will also help you in taking charge of your health.
So, you might be thinking how do health and money relate?
In today’s world where money is a necessity for survival, without money, life becomes stressful.
At the end of the month, you would be freaking out if, you have no money to pay the bills and sometimes you even have to sacrifice your food for paying the house rent because your landlord is bothering you like crazy.
Life becomes stressful, tension started to creeps and you feel frustrated for not having enough money.
So, somehow health is related to money. But don’t worry; here are the 10 personal finance habits to help you take charge of your money to avoid stress.
1. Start by spending less than you earn
Many of us are in a bad habit of spending more than we earn without calculating the expenses for future needs.
This is a big NO when it comes to spending money. Always spend less than you earn.
2. Never buy anything on an impulse
One of the best ways to avoid buying things on an impulse is to make a shopping list and stick to it.
Do not be tempted to the shop keeper’s words nor to your friends. Buy the things that you need most.
3. Do not overspend on gifts
Well, this happens to me all the time.
Buying gifts for loved ones are overwhelming and sometimes out of love, we tend to overspend the money on gifts that are way beyond our budget!
4. Save before you spend
Yes! Put some money aside for your savings before you even started to spend it.
It is recommended that we should at least save 10% of our money before spending it on anything.
5. Manage your credit cards
Credit cards come in handy in case of emergency but do not use it until really needed because it’s not free; you have to pay extra for interest.
6. Keeping a budget
You might have heard people say, ‘I’m living on a budget!’
Well, you should; if your earnings are not so great. Tackle your finance this way will help you reduce spending on unnecessary things.
7. Avoid the lottery
The lottery is fun in the beginning and especially if you win at first go, you will be over the moon of trying it out over and over again until you are broke.
Avoid it, as best as possible.
8. Don’t waste in on bad habits
Bad habits mean smoking, drinking and partying hard.
Overindulge in bad habits will rub away your money and happiness.
Think about how much you can save if you do not smoke nor drink.
9. Never overpay for insurance
Why pay for higher insurance premium if you rarely make claims?
Insurances are good but see what benefits you most.
10. Negotiate whenever the opportunity comes
Whether you are shopping or dealing in business always negotiates for a reasonable price.
This will help you save a fortune!
These are the 10 most important habits to take charge of your money. Follow them to avoid stress-related money issues.