How to manage your personal finance`

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istockphoto 1299055072 170667a
istockphoto 1299055072 170667a

The average Canadian is $207,000 in debt and life has become so complicated with personal finance

There are so many different products and services out there, but not everyone knows how to manage their finances well. 

If you’re only making the minimum payments on your credit card, or still living at home with your parents, you need to take action into your own hands! 

It can be difficult work balancing a job that pays well while paying for everything else yourself, but it’s possible if you’re willing to put in a little effort each day. 

Crypto Circle X has some more information to manage your personal finance.

The tips and tricks below will help you manage your personal finance better.

1. If you’re still in school, learn how to manage your money from a young age.

a. When you get paid, keep the cash in a jar, and when you run out of money, save it for groceries or entertainment. You’ll get a better understanding of how your money will work when you have to manage it yourself.

b. Don’t spend all your cash before pay day! And if you do, don’t go into debt for it because then you’ll just have to pay interest on food and whatever else! You won’t get anywhere that way!

2. Create a budget and stick to it.

a. You need to know what you’re doing with your money each month! If it’s not due, save it! If you have no idea how much you make at any one time because you get paid all over the place, try creating a personal finance calendar using an Excel spreadsheet or something similar. 

Once you make sure you have all of your income in one place, budget accordingly!

b. Try creating a budget that will help your monthly expenses stay the same. This will help you plan for more long term needs whenever they arrive. 

This way, if something does happen that throws off your budget temporarily, it’s not as drastic as it could have been.

3. Think about your future.

a. If you spend too much now, it will be harder to think of bigger and better things in the future. It could be as simple as not buying video games and opting for a book instead, or spending more time with friends instead of going out every night. 

Remember that the more you save now, the better equipped you’ll be to handle things later on. Don’t be one of those people who has to rely on their parents later on!

b. Investing is important too because you can’t always count on someone else’s money growing for you , even if it’s a retirement plan. You need to start small, but that’s how you’ll get the big returns.

c. Think of your future in terms of time, not money. Instead of saying I want $100,000 when I die, say I want to live until the age of 90 and be happy doing it. The smaller steps you take now can lead to huge life changes later on. Think about how your actions will affect your bank account in the future!

4. Think about getting a credit card, but only if you think you deserve one!

a. It’s good to have a credit card because it shows that you’re responsible for your own actions. You can pay more than the minimum without worrying too much, so you can have some fun while you save up for bigger purchases. 

However, if you never use it and keep more than 30% of your spending on it, you’re worse off than before!

b. If you do get a credit card, use it responsibly! There are no excuses for being late or not being able to pay it back. Use your credit card sparingly until you are responsibly paying each month. 

If there’s ever a problem with your credit card, call customer service immediately instead of ignoring the problem. Most companies will help you if you contact them directly.

5. Pay down your debts as fast as you can, and start saving for the future.

a. If all of your debts are paid off and you’re still working on saving for the future, it’s time to rest! You’ll have a lot more free time to work on your credit card debt if you stop working so hard now. 

However, do not give up on saving because if anything happens to take away these funds from you – such as losing all of your income – it will be harder than ever before to get them back! So just enjoy yourself now!

b. Set up a monthly payment for your credit card debt. You can do it easily online, or even calculate it as a part of your budget. 

Whatever you choose, make sure to make the payment as soon as you can! If it’s due today, pay it today! Don’t procrastinate!

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