Knowing how to be a good manager of your own money goes beyond staying in the blue every month and pay all the bills. It is necessary to be attentive with all your expenses, be they large or small, and have discipline to avoid debts that may cause future problems.
Small expenses can grow over time, and businesses that seemed unmissable quickly become a huge loss. That's why, no care is too little when it comes to having a healthy financial life and maintaining financial stability.
But don’t worry if you’re not a math whiz, as you’ll just need to know how to use a calculator and adopt some healthy habits to see your financial life change quickly for the better.
Whether you are an entrepreneur, self-employed or salaried, here you will find a list of 25 habits how to be a good manager of your own money and have a healthier financial life.
Do you want to know how to be a good manager of your own money? So, read the article to the end and, if you can follow at least some of these guidelines, you will already be on the right track to have greater financial peace of mind.
How to be a good manager of your own money: check out 25 tips
If you are having difficulty paying your bills or want to go beyond your current standard of living, some attitudes on a daily basis are fundamental for you to have more control over your money and do it to grow. Here are a few:
1. Make a monthly budget
Record in a spreadsheet all its sources of income and its fixed and variable expenses. This practice will get you used to your financial reality and show you where adjustments can be made so that you never spend more than you earn and still start saving money.
2. Invest at least 10% of your income every month
After paying the fixed costs, try to book at least 10% of your income to invest. Is important save not just to accomplish your dreams, but so that you have capital to invest and start building your equity.
3. Separate your personal expenses from your company's expenses
For those who have or intend to have a company, it is essential that their personal expenses are separated of your business expenses, so that you have a clear sense of your financial health. Failure to follow this guidance can lead to losses and even bankruptcy.
4. Avoid financing
Financing contains built-in interest and fees and always decrease your purchasing power. If you need to finance, opt for short terms, research the conditions in different banks and financial institutions and always include the value of the installments in your monthly budget.
5. Consolidate and amortize debt
Whenever possible, try to pay the installments of financing and loans simultaneously, if this will reduce interest. An alternative is to consolidate different debts into one, with a single loan in the long run, to pay everything in cash at a discount.
6. Research different types of investment
Everyone can invest, whether you have a conservative or more daring profile. For this, study different types of investments to choose the most suited to your reality.
Talk to subject matter experts to make the best decisions and find an application that meets your needs.
7. Invest solidly
That miraculous offer that offers extraordinary gains is false, you can be sure! The investment fund that your bank manager offered without informing the fees is also not a good alternative. Solid investments are built over time, be patient and plan your applications well.
8. Have an emergency fund
Unforeseen events happen, and it's good to be prepared. Having an emergency fund is an important part of a healthier financial life. Set aside a portion of your monthly income and forget about that money, unless you lose your job or have an emergency.
9. Set financial goals
Objective is what you intends to achievegoal is what will you do for that. If the goal is to increase your sales, you can set a goal of doubling your sales volume in six months. If you want to save money, you can start with 10% of your income every month.
10. Buy the view
This is a great money-saving strategy because you avoids unnecessary purchases and the cost of interest and fees, which will always exist in installments, even those called “interest-free”. In addition, cash purchases offer greater bargaining power.
11. Avoid the credit card
In the same sense, it is good avoid using credit card if you want to save. This is because it is easier to “feel” the cost of a purchase when you need to pay at that moment. The card is useful for online purchases, but it can be a problem at the end of the month.
12. Set a limit on your variable spending
Anything that is not a fixed expense can be considered a variable expense, and most of the time you can leave the purchase for another time. But it is also important to set aside a small part of your income for leisure activities. The secret is balance, like always.
13. Use financial management tools
If you are unfamiliar with spreadsheets, some good options for controlling your personal finances are financial applications, such as Guia Bolso and Organizze. Using a tool like these, you control everything that comes in and out of your account and avoid surprises at the end of the month.
14. Look for alternative sources of income
Nowadays there are several activities that you can do at home and increase your monthly income with it. However, do not forget that this extra income must be spared, so you can start building your heritage.
15. Search prices
It may seem like a thing of the past, but with the internet, price research has become much simpler. Before buying a product or hiring a service, make quotes online to make sure you’re paying a minimum price fair.
16. Participate in points programs
So, you are rewarded each time you make a purchase, being able to collect your points and exchange for products or services that you value, such as discounts on fuel, airline tickets, appliances, etc.
17. Review your monthly subscriptions
Do you have a product or service that you use a lot? It may be a good idea to subscribe monthly, so you can saves in value and still receive your products at home as often as desired.
18. Buy used items
This is a way to save money and still contribute to the preservation of the environment. If you are afraid to purchase used items, start by negotiating with people you trust.
19. Pay attention to small expenses
Always be attentive and avoid paying for small purchases or services such as taxi and food on your credit card. So you have a greater control about your budget and avoid that scare when the invoice arrives.
20. Have meals at home
Avoid eating out, as it is an expensive habit depending on the region where you work or reside. Eating at home can make you save a lot at the end of the month and it's still very healthier.
21. Treat your money well
Be jealous of your money. If it was difficult for you to achieve it, it must also be difficult to give it up.
Do not leave money lying around the house, always count your change, check your invoices and get in the habit of collecting any coin, because it can make a big difference at the end of the month.
22. Think about the long term
Great achievements do not happen overnight. If you want to save money and build equity, it's important start as soon as possible and keep going. To retire with an extra income from your investments it will be your pleasant reward.
23. Pay attention to the invoice due date
Whenever possible, choose the due date for your invoices in a period next to your payment. This way, you can get rid of fixed accounts as soon as you receive them and get a better sense of how much money you will have until the next payment.
24. Save all extra money
Did you receive unexpected money? Nothing if you go shopping, time to invest! Add all your extra income to those 10% of your payment that you already invest every month. This way you will see your assets grow much faster, because money breeds money!
25. Study personal finances
Always be aware of experts and the market opportunities. In addition to helping you take better care of your money, this attitude can inspire new achievements, as the great financial gurus were once also beginners like you. Just go after!
>> Financial fraud is unfortunately very common and frequent in our country. So, to keep yourself safe know How to identify fake payment slip: 5 tips for not falling into cybercrime <
The secret is in everyday life
As you can see, a sum of small attitudes in your daily life can make a big difference in your financial life. Those who manage their own money well have a quieter life and less worries, in addition to making better use of the opportunities that appear.
A good tip for those who want to delve into the subject and learn how to be a good manager of your own money is the best seller From a thousand to a million without cutting the coffee, book by finance consultant Thiago Nigro, creator of the channel The Rich Cousin. Worth reading!
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