Get ready to maximise your potential, maximise your living with empress2inspire’s new posts series “Daily Dose of Living”. These series will bring you the best in personal development and productivity every day of the week. Your best life awaits.
In today’s post we will learn how to simplify your budget. The goal is to reduce headaches, eliminate the need for complicated tracking schemes, and reduce the time you spend on your budget and finances to about 15-20 minutes per week. Let’s first look at setting up a budget. If you haven’t done it yet, it’s probably because budgets seem intimidating to you, or they are too much hassle to set up and maintain. Those are both valid points — which is why you should follow this simplified plan if these things apply to you. Here are a few suggestion on how you can create a better budget :
- 60 Percent Solution. Basically, this budget asks you to fit your regular monthly expenses within 60% of your gross income, so that you have room for savings (long-term and short-term), retirement and spending money (“fun money”).
- Pay bills online. As much as possible, pay your bills online. These would be most of the bills in the first category above — utilities, rent or mortgage, cell phone, Internet, etc.
- Automatic savings. Make your savings automatic as well. Every time your paycheck is deducted, have a scheduled transaction transfer a set amount from checking to savings.
- Cash – Withdraw small amounts in cash twice a month, rather than using checks or credit cards. The reason is that it’s simpler with cash, you don’t need to worry about overspending, or tracking how much is left in that category.
- 15-20 minutes a week. Just this little amount of time each week will greatly simplify your financial life, reduce headaches, and prevent any messes from occurring later.
- Pay all bills at the same time. It often just takes a simple call to get a vendor or creditor to change the due date on your bills.
Learn more about financial freedom here > https://empress2inspire.blog/2021/01/27/daily-dose-of-living-27/
Hope this helped. Come back tomorrow for more inspiration.