Getting started on your money management journey is daunting and you may begin to feel discouraged or uninspired. It’s crucial to keep a positive mindset throughout your journey and understand that your sacrifices will surely pay off in the long run. Here are seven free money managing tips to help you reach financial freedom:
Develop a budget
Whether you choose to budget down to the day or you’d rather budget monthly, this is one of the most important steps in successfully managing your money. Being unaware of how much money comes in and out of your account on any given day or month can lead to overspending which is a hard habit to break. Download an app or write down your daily/monthly expenses and keep track of how much money you will need to allocate towards each of your basic needs each month. Once your basic needs are met, you can save money or use it for little luxuries to #TreatYoSelf.
Cut down on unnecessary spending
Remember when you subscribed to that music service three years ago to listen to your favorite artist’s new album? If you haven’t used the app in over a month, it’s time to cancel your subscription. Same thing with unused gym memberships. These unnecessary expenses add up quickly and can be taking a significant amount of money away from you. If you’re unsure of what subscriptions you have, seek out the help of a third party app to detect and even deactivate some of your accounts.
Get free money on Cash App
Cash App, the mobile peer-to-peer payment app allows users to buy and sell cryptocurrencies on the app. The company has been seeking out New York banking charters that allow them to operate as an official “bank” which gives them access to expanded financial services. It’s possible to get free money on Cash App and it’s 100% legal and simple to do. Just use the Yotta debit card as the source of funds whenever you make a payment on Cash App. With the Yotta debit card every single purchase has a chance to be immediately reimbursed, no strings attached. This works at any retailer, but many aren’t aware this also works on Cash App. This works because Cash App processes payments using debit cards as purchases, which is why these rewards are available similar to any other debit card purchase you make. They do not charge a fee to use a debit card as a payment method.
Pay bills on time
Racking up credit card debt is a bad money habit, but neglecting to pay off the bill is even worse. Bills paid late are often coupled with a late fee or penalty, which can be rather expensive – especially if you’re already struggling to keep up with your payments. Make a plan on where you can cut down on spending or earn extra cash to ensure your bills are paid in a timely manner. Paying your bills on time will help to boost your credit score and it will also save you money. Another perk is that by paying off your credit card bills, you’ll likely be offered lower interest rates on your existing credit accounts.
Develop an emergency fund
You never know when you’ll run into car troubles, medical emergencies or travel mishaps. A great way to be financially prepared for emergencies is by expecting the unexpected. If you’ve heard of Murphy’s Law, you know that whatever can happen will happen. Always anticipating a large purchase will help you stay in line with your financial goals. Don’t let a little flat tire or trip to the doctor’s office skew your progress towards better money management. Your emergency fund can start with whatever you can set aside. $500 is typically a good starting point, but it’s recommended to save up to three months worth of your current living expenses.
Make a list of future expenses
Life happens, holidays come and go, friends get married, the list goes on and on. Be prepared to spend money on vacations, gifts, bridal parties and more by making a list of your future expenses. Develop separate savings accounts for each occasion and distribute a custom amount of money into each account as often as you can afford. Not only does planning ahead take the stress out of last minute shopping for flights or gifts, but it can also help ease anxieties over spending money.
Create a plan to pay off any debt
Stressed about paying off your car, student loans and potentially more? Do yourself a favor and cut down on the amount of things you own that require monthly payments. Trade in your car for an older version that you can purchase totally in cash without owing anything on it. Work with your student loan representative to get the best payment schedule that works for your current financial situation. Don’t buy electronics or furniture with a layaway program. Reducing the amount of monthly payments you make will save you money in the long run. Be diligent and you’ll be impressed by the results.
