Money Management Tips

Set a goal

A clear objective is key. Whether you’re saving up for a vacation, trying to get out of debt or implement better saving habits, a well-defined goal will guide you through the process.

How much money do you have?

This includes income, tax refunds, and the $5 bill you found along the curb

How much do you spend?

Take a look at the last two or three months. Where was your money going? Make a list of every expense. You might not think you spend a lot, but after breaking it all down, you’d be surprised.

I found that a lot of my money was going to Target. I’d go in for something I needed, but walked out with much more. I had to quit the Target and I was able to avoid the store for a month. It was amazing to see how much money I saved ($150-ish).

Create a budget

Ask around and see if any family members or friends have created a budget before. They might be able to share some tips or pointers with you. It’s great having supportive people around you. If your friends are quick to spend, spend, spend, you may want to rethink hanging out so often. Suggest a group effort in saving some cash!

Patience is a virtue

Give it time. It’s going to take time to adjust to your new budgeted lifestyle. If you still don’t meet the numbers from your original goal, reevaluate. Is there something you should be doing, but aren’t? Before changing your budget, focus on yourself.

Electricity

Get a home-energy audit to assess household power use and learn how you can be more efficient. Many public utility companies offer this service for free; you can also do it yourself using tools and calculators available online.

Not in a room? Turn off the light. You might not think you’re saving a lot, but you’ll be surprised.

Telephone

Take a closer look at your bill to make sure your plan matches your needs and that you are utilizing optional services, such as call waiting, that costs extra.

Do you really need that $4.99 app? Unless it’s helping you budget, then you probably don’t. Before buying it, consider if it’s something you really need.

Groceries

Purchase non-food items like paper products, toiletries and cleaning supplies in bulk or at the Dollar store. They offer better bargains than most supermarkets.

Auto

Keep up with tune-ups to maximize fuel efficiency. The better you keep your car performs, the less gasoline it uses, so be sure to check the oil, tire pressure, engine and air filters regularly.

Drive to work? Consider getting a monthly parking pass rather than paying the $30+ every day.

Entertainment

Instead of renting movies, check out the DVD selection of your local public library, where you can borrow the latest releases for free.

If you need a night away from your couch, sign up for the Five Buck Club.