The recent economic crisis has taught us all how important it is to learn to save. A good share of savings can be your life preserver in a stormy sea, and your springboard when the waters have calmed down.
But saving is an attitude, and to learn how you have to establish good habits here 3 habits to start.
1. Record your expenses
The first step to being Tatar a good habit is to be aware of their mistakes.
You have no idea how much you spend in a month? What is your biggest expense? How many installments are you paying? Which exceptional expenses you’ll face in the next 90 days?
If you answered NO to most of the questions, record your expenses is the first step to learning how to better manage your finances. Write down your spending has, in fact, two immediate benefits:
You become aware of how much you spend and where you spend.
You break the bales to write every spending and start to avoid unnecessary expenses (oh no, if you stop you’re not smart to mark them).
Paradoxically then record your expenses must be quite tedious and annoying. But since I’m not really a masochist, I will suggest a few practical examples write down your expenses:
Notebook + Excel. He carries around a notebook with you and writes on your expenses, in the evening transfer your expenses into an Excel spreadsheet with just two columns, what you bought and how much you spent.
Android + Excel. Everyone has a cell phone, and if you’re ashamed to pull out a notebook every time you spend money, you can always pretend to send a text message and write down how much you spent. Even in this case, you should copy everything in a nice Excel spreadsheet to get a monthly statement.
Pennies for iPhone. If you have an iPhone you can use Pennies. The interface is very intuitive; you can assign spending categories immediately and have a very effective style monthly report “gas tank.”
Money tracking ‘. If you love the web app Money tracking ‘ for you. It’s free line application, translated into Italian, which lets you keep track of all your expenses, using both the phone and the computer. One of the strengths of Money tracking ‘is your community where you can find dozens of practical tips for managing your finances.
As I always say, the instrument is not important to find a good one and begins to write down all of your spendings over the next 30 days, we expect interesting surprises.
2. Divide your expenses into necessary and unnecessary
Once you have learned how to record your expenses, the next step to learn how to save money is to better understand how you spend your money. You can invent all the categories you want to categorize your expenses, but my advice is to only use two of them:
If you really want to learn to save, you must be able to distinguish between what is essential and what is superfluous. To make ends meet and realize they have spent 500 dollars on crap when you could spare them to realize a dream of yours or to start to build yourself a fortune, it will trigger something in your head.
Do you really think of repeating that expense after it wrote down as superfluous?
Distinguish between necessary and unnecessary expenditure also lets you figure out how much you may be able to save in a month, and if you want to start saving this can be very motivating.
3. Make your savings before spending
Now that you have become aware of how much you spend and where you spend the time has come to act.
By recording your expenses you know exactly how much you spend in a month, and you also know what you could save by eliminating the ones you listed as unnecessary spending. The last habit that you have left to establish and to make savings on your first shopping: just credited the salary or other income you may have, put aside the amount of money you’ve decided to devote to savings. Automates the process as possible.
You can use the tools that I spoke to you by describing the Security Capital … or you can put them under the mattress! Once again, the medium does not matter, what matters is the habit: learn to consider the savings your first expenditure for the month and in no time you’ll have more money than you could imagine.