Money. There never seems to be enough of it. Today let’s look at a few personal finance tips and see if there are some ways you can start making small changes in your mindset as well as in your wallet.
Financial Tips to Help Build Your Money
- Know Your Worth.
Do some research and find out what the average pay for your skill, job tasks and contribution to your company is worth in the marketplace. I did this at my last job. At that time, I was working in a small hospital as a biller. Once I did some research, learned that I was making on average, 40% less than other billers in my area. I prepared some of my research and approached my CFO asking for a raise. I got it. If you know what you are worth and you can prove it, you have a good chance of getting it. If you are denied and you know you are worth more, it’s okay to find another job in your field where you are adequately compensated for your skills.
- Spend Less Money Than You Earn.
I know this sounds simple, and like it’s a complete no brainer, but you’d be surprised at how many people struggle with this Golden Rule. It doesn’t matter if you make $500 a week or $5000 a week, if you spend more than you bring in, even if it’s just a small amount, you’ll never get ahead. Keep in mind that it’s easier to spend less than it is to begin earning more and you don’t have to make huge sacrifices. Just be mindful. Sit down and look at what you’re bringing in and what you’re spending and make sure you’re under your limit.
- Stick To Your Budget.
This one can be difficult if you’ve never had a budget, but whether you think you do or not, you need one. This enables you to know exactly where your money is at all times. You can’t set spending and saving goals without one, and you can’t show where your money is going if you don’t have one. Sit down, make a budget and stick to it.
- Pay Off Credit Card Debt.
Keep in mind when you’re standing in the check out line at the department store, that the little square of plastic in your hand is actually money. Not only that, look at the items you’re purchasing. Are they worth the interest you’ll be paying on them if you put it on your credit card? Do you really need it? Pay them off. Start with the smallest one, pay it off and roll that payment into the next card. Then set them aside and save them for real emergencies, not every day purchases.
- Invest In Your Future.
Check with your employer. Do they have a 401(k) plan? Are you contributing? If not, you could be missing out on one of the best deals out there. If you’re already contributing, consider increasing your contribution. Even an extra $50 a pay period can add up quickly.