How to clear your credit card.
Turn all income and saving to reduce debts. As soon as your income come, you have to pay from 90% of your salary, 10% is saving or living cost( if you want to). If you pay 100% of your income to credit card, you can use credit card for daily living. The benefit of this thing is all credit cards will give you some days of interest free. Therefore, you have to clear the old credit to reduce the interest fees, and the new credit you still have some days before the bank start counting the interests. By this way you will clear your credit card debts faster and you can save some buck from the interests.
Fix your money in 3 simple steps.
1. Write down all your expenses as they occur for a month to find out what minimum amount you need for living per month. Now you can keep that amount in your current account every month.
2. Turn savings into debt reduction. Instead of saving you should pay your debt. The money that you save from the debt’s interest will be bigger that the money from your saving account’s interest.
3. Reduce your credit card. If you can’t afford, do not buy! Save the credit card for large amount of spending or emergency case.
How to Save?
It is really hard to save money due to the continues price increase of our day to day expenses. Just for a days gasoline will cost you a big amount and add to that your daily meals. So saving a little money is being a problem by the people nowadays. But there is one person who has a good idea on how to save a little money from our salary. His name was Mr Francisco J. Colayco. Actually he has several book on how to save money one was Wealth Within Your Reach.
According to his book the best way to save is to have this formula: Salary-Savings=Expenses
He also says that one should atleast set aside his 20% of his salary or even 5% if you can’t delegate 20% as your savings. It is also in his book that we should make our savings grow even we are still working.
REading his book really inspire me save a little portion of my income here on the internet and I’m hoping that with this way I can put up my own business. I’m sure if everyone will just follow his advices all of us will cope up in the so called money crisis.
Gaming and Finances
From the awesome Gamers With Jobs:
I am a miser. It is well documented that I do not like to watch numbers decrease; it sparks an uncomfortable dissonance in my progressive world view. I dread the presence of naught where once there was quantity, and so that makes me the kind of person who will put off paying for the heating bill in the middle of a Minnesota cold snap, just so I can artificially inflate my bank account with an impending paycheck before acquiescing to necessary impulses such as not dying of exposure. This stubborn numerical protectionism extends through to almost every corner of my life, save one.When it comes to video games, I will buy virtually anything.
So true! What will you scrimp and save to buy?
Via Will and the Lack Thereof | Gamers With Jobs
Credit cards are worth good …
Credit cards are worth good if you use it wisely. If you use it unwisely then it becomes home of your debts. Actually, a credit card is tool to meet your instant financial needs. Credit card helps you to avoid carrying cash when you go to shopping or anywhere you can’t take risk to keep cash. It is really helpful when feel scarcity of money and if you really need extra money. Using a credit card is worth good.
But, if you use a credit card to just enjoy or spend money unwisely then it becomes home of your debts. If you want to use it by this way, then first put enough money in your credit card account. Otherwise, if you don’t repay spent amount on due date, then be ready to pay it with high interest rate.
To avoid this kind of unnecessary debt, use your credit card when it really needs. Other wise keep it in your wallet.
Saving Tips
Saving money is somewhat difficult task when you start earning. When we start earning money, our mind thinks to buy many things. We run behind our mind and spend all money. Once our money finishes before end of month, we feel scarcity of money.
That is why saving is essential at the beginning of our earning period. Never spend money on buying unimportant things. At the beginning of the every month, meet your important financial needs. You can list your financial needs on priority basis. Then spend money wisely.
Then you will find that how much money you have saved in that month. If you save little amount, then keep it as it is in your saving account. Do that for few months, and you will get into a habit of saving. And one day you will be satisfied on your saved amount. You can use this saved money in your later years. You can use it to go on tour, to invest anywhere to fund your retirement, etc.
Personal Financial Planning: Excellent Tool for Individual Money Management
Personal financial planning is a part of managing your income according to your financial management. Nowadays, it is one of the most important aspects of any individual life. Everyone positively thinks about personal financial planning directly or indirectly.
Personal financial planning is an instrument to carry out some principles of finance regarding money matters of an individual or family. It positively assists you in keeping all records of your earning, spending and saving. It requires a little sensible approach from your side to be successful in your money management. It will not happen overnight. Because individual financial planning is a continuous process. It has flexibility to change with time.
To be good in your financial management, you need to know basic information about it. Planing is the key factor of your financial management. It requires daily observation and reassessment of your income, spending and savings. Below are few points which can be useful for your financial planning.
1. Current financial position - Know your current financial position. Consider you’re all income sources, spending and savings. This includes calculation of your income sources and expenses. Calculation of income sources includes your post tax income, spouse income, investment income and any other. Calculation of expense includes spending on grocery, medical, laundry, house, lifestyle etc. Thus, you should consider fixed expenses which are house rent, children fees, loan repayment, insurance premium, etc. It will assist you in drawing out an outline of your money management planning.
2. Setting financial goals - After reviewing your financial position, figure out your financial goals. Remember, you should draw out goals within your income limits. Your goals should be achievable. Consider how much you are going to earn in the period of completing your goals. This will aid you not to fix your financial goals blindly.
3. Action plan - Create an action plan to achieve your goals. Brainstorm possible ways which are suitable to your plan. While making an action plan, you should not neglect above two points. Make more than one action plans. Those should be drawn out with the help of your financial facts. Choose that action plan which will positively help to your success.
4. Plan implementation - Now it is working time on your action plan. You have selected the best plan which guarantees your maximum success. Be flexible about your plan. You may be required to make slightly changes if there is any necessary demand of time. Carefully made a plan should be carefully followed.
5. Progress observation - Keep daily observation on your plan progress. Because, times and circumstances change. That time you may not be able to work on your action plan. Review your progress and do adjustment as well as changes. If the action plan is doing considerable progress you want, then go ahead with it.
Personal financial planing is an excellent tool to control on your financial life. However, it needs to bring it in reality with true commitment. Then you will get true results of personal financial planning.
Whole Life Insurance and Retirement
Life insurance is one of good ways to fund your retirement. We all want to live life after retirement with enough financial resources. No one wants to be financial dependent on others after retirement. Life insurance provides you an excellent opportunity to make advance financial provisions.
Whole life insurance is one of the types of life insurance. It protects till your death. Cash Value is one of the advantages of whole life insurance. It continues to build more and more until you pay your premiums. Moreover, cash value is tax-deferred.
You can use your policy’s cash value to fund retirement. Pay premiums on timely basis. Then your cash will increase more and more. You can check how much cash value is there. You may borrow some amount from cash value and invest wherever you want. But, you should consider investment types carefully. Because you are going to create financial resources, which will make you financially independent after retirement.