Check out the 5 financial tips for the third week of March 2013.
Tip no 1: With the correct step and strategies, you can put a lid on your expenses.
If severe problems are creating too many complications in your life, then it is important to put a lid on your expenses. Right strategies can help you have a rigid control on your expenses. For instance: you can give up your subscription for monthly magazines. Other than that, you can stop traveling by your precious car. You can walk a few miles or you can commute through public transport.
If you're unable to create a strategy, then ask your friends and family members to suggest few tactics. Make a list of concrete strategies and implement them wisely. Then only you'll be able to reduce your expenses.
Tip no 2: Your first vice is being in debt. Avoid temptations and pay your lender. Don't be a sinner.
If you wish to lead a pious life and be close to God, then it is imperative to avoid committing sins. Man's first sin is being in debt. So, if you have taken out a loan, then use your financial resources to pay it off as soon as possible. The sooner you'll get out of debt, the better for you.
Credit cards and associated benefits can tempt you to splurge. You’ve to avoid this temptation, otherwise you're more likely to be in debt. If you're in debt, then you're a sinner. You won’t able to worship God whole-heartedly.
Tip no 3: Use your emergency funds only during emergencies. Don't use them for your daily expenses.
As the term implies, "emergency funds" are meant to be used for meeting emergency expenses. For instance: sudden medical bills and car repair. So, utilize your emergency funds only for tackling unanticipated expenses.
Don't touch your emergency fund for meeting day-to-day expenses. If you use your emergency fund to buy groceries and pay bills, then you won't be able to use it during emergencies. You won't have any money in your fund.
Use cash to meet your daily expenses. Prioritize your spending so that you're not in a financial crisis. Contribute money to your emergency fund every month.
Tip no 4: Create a flexible budget plan so that you can make some necessary alterations when required.
A flexible budget is useful for the families having various needs in different months. Your family's needs and requirements can’t be same in all the months. They are bound to change. In some months, your family's monthly expenses will be more. A flexible monthly budget will help you meet those expenses easily.
A flexible monthly budget is especially helpful when your income varies from month to month. It helps you adjust your spending plan as per the changes in your income and expenses.
Tip no 5: Opt for work-study programs to protect your wallet when you're in college.
There are several colleges in the country that offer work-study programs to the students. These programs help you earn dollars while studying at college. You can do your classes during the daytime and work part-time during evening or night. This will help you meet a portion of your college expenses. You can use the money to make payments on your loan. This in turn will help you avoid being in debt after completing your graduation.