Money and Finance
To effectively manage your finances,you have to clearly justify your spending .This gives you a clear understanding of what your needs are,that is,what you can ,and can’t do without.Regardless your earning potential,you must clearly define your spending pattern.This will aid you in prioritizing your expenditure and thereby saving what you can,albeit for a rainy day.
It is therefore important to curb some unwanted expenses.These are classified as wants.
One must employ certain strategies to boost and multiply his/her savings .
We shall look at ways to manage your money both on the personal and the business levels.
Investment is the best way you can increase your savings businesswise.Invest in a worthy venture .This could be something you are good at,or enjoy doing.It should also fulfill a need .For this,you need to carry out a thorough research of the area you’d liketo set shop.Perfect it and know who your customers are,and their needs .Endeavour to pay your bills as they come to avoid unwanted disruptions and inconviniences.
Dedicate a part of your savings to a business venture to increase your wealth amassment potential. Have control over the management of your business and limit your business expenditure to maximize on monetary benefits.
Pay your debts in time and eliminate accumulating debt if you can help it,since vast amounts in debt accumulation over time makes it more difficult to pay up.Be sure to avoid unnecessary risks that could plunge your business into jeopardy.
On a Personal Level:
When shopping, create a budget of all expenditure and categorize every need according to importance in the need hierarchy, and wants in the wants hierarchy, so as to be able to effectively analyze each . This enables you to decide whether you really need that particular item,or if it is something you can do without.
Avoid shopping on impulse,as this leads to extravagance, thereby you end up buying what you do not really need.Instead ,put down a list of the things you need in a budget list and strictly adhere to it .
Go window shopping, analyze and compare the prices of items before settling on a pocket friendly store.
Buy in bulk.This cushions you against sudden increase on items.It is also more affordable.
Look out for stores offering discounts.
Avoid purchasing items on higher purchase ,as this carries an interest rate.Instead,opt for a suitable savings account to save up for your desired purchase.
Finally ,discipline is very crucial in matters pertaining to finance.