Balancing your (sometimes small) budget
Managing finances is a challenge many of us face at times in our lives. In high school or college, most of us start working and paying our own way. Then as adults we take on expenses like car and house payments, support dependents (human or pet!), try to lower debts and prioritize seeing friends and family across the country. Eliminate some of the stress that finances bring by trying the tips below!
- Commit to saving a minimum of 10 percent of your income to be used exclusively for emergencies. Automatically tucking that money away will help keep you from spending it unnecessarily. Even $20 here and there will provide a small cushion next time you get a flat tire or something unexpected happens.
- Create and stick to a budget. This one might sound harder than it truly is! Use an app on your phone such as Mint that will allow you to put a limit on different types of spending, and receive notifications when you go over.
- Shop small. If you are committing to doing holiday shopping on a budget, consider shopping from local businesses or even Etsy shops. Often, small businesses have better prices – and more unique gifts!
- Pay your bills first. Set automatic payments or phone reminders for all your bills as soon as you get paid. That way, the stress of making payments is eliminated, and you have a realistic view of the funds you have left.
- Set goals. We have learned the tricks, like setting SMART goals, which work in other areas of our lives, so why not use that for our finances? Commit to having a certain amount of money in your savings account by June 2018, or pay off one credit card in a set number of months. When you stick to at least one of those goals, you will feel more in control of your finances and empowered with your accomplishment!
You can check out other tips for managing your finances at Society of Grownups. Share your financial management tricks with us using the hashtag #KDCoffee!