4 Steps For Taking Control of Your Finances

Most Americans have trouble maintaining their “financial house.” Some can’t seem to keep track of what money goes where. Others can’t seem to live within their means, racking up a mountain of debt. All causing needless stress in their family lives, that even affects their children.

If you can relate to a life like this, don’t worry. Because as long as you want to make things better, there is a way out. And it all starts with…

Knowing Where You Are Now, And Where You Want To Be

As you can imagine, it’s impossible to take control of your personal finances, if you have your head in the sand, with no idea what’s coming in, and what’s going out.

So today I have 4 Steps for you, for taking control of your finances, and making your life easier:

Step 1) Get a pen and notebook, and write down all of the sources of income you have every month, and how much you get from each source. Add up all of these to get your “Money In.”

Step 2) List every expense you have, every bill, and even the little things you spend money on every week. Then add these up to get your “Money Out.”

If your “Money Out” is greater than your “Money In,” you’re losing money each month. If your “Money In” is greater, then you have extra money each month to save in your bank or credit union account. This exercise just showed you where you stand now with your personal finances.

Step 3) Get clear about where you want to be with your finances and your life.

Set goals for the life you want to have 1 year from now, 5 years from now, and 10 years from now. Then to help you achieve your goals, your important next step is…

Step 4) Create A Budget and Stick To It

If you have trouble managing your personal finances, having a household budget will save the day for your family. Especially when you look at the silly things you spend money on each month, that showed up in your “Money Out” list.

Once you organize your finances with a budget, and stick to it, you’ll get all your bills paid on time. You’ll find it much easier to save money. And when you’re saving money, you’re on the right track.

Related posts:

5 Black Friday Smart Shopping Tips
A Marriage For Financial Fitness
Lose Your License For Unpaid Student Loans?

Please share your comments and questions