Money management is all about saving, budgeting, and investing. But it does not generally mean that you need to spend less, especially in the current economy of the country. Most of the time, spending less in a household is just not possible. Author and businessman, Ronnie Lee provides a number of ways to managing your money smartly in his latest book, Know Money No Problem (ISBN 978-1952263583). He especially targets the people that earn an average amount of money during the month with this book. It is sort of a guide to help you become more financially secure. In the book, Lee focuses on household finances, providing his readers with effective tips for budgeting and managing debt.
Growing up, Lee watched his parents struggle with making smart financial decisions, which put a strain on his and his family’s lives for a long time. It took a lot of hard work and dedication for Lee to build up his net worth and start several businesses. But he was able to find success financially. Lee’s personal struggles make him the perfect person to write this book and engage with readers that are facing a similar financial crisis as he once did.
Spending smartly is more about making smart choices. These spending strategies, by Wise Bread, will help you reorganize your budget:
· Seek out membership deals. Whether you’re shopping for groceries, making a trip to the spa on a regular basis, or planning on traveling a few times over the year, look for membership pricing options to save money. Find a warehouse club that stocks your favorite brands so you can buy them in bulk. Most offer one-day trial memberships so you can scope out the inventory and decide which membership plan will be the best fit for you. Talk to your local spa or salon about membership options so you can pay a discounted fee for services over the course of the year. Sign up for members-only travel deal sites (most are free) so you can take advantage of discounted travel packages and other travel deals. Remember that memberships are only valuable when the cost of the membership is justified by the number of discounts you receive. If you’re not a frequent shopper or buyer, you probably won’t maximize your membership benefits.
· Overestimate expenses. When you’re putting together a monthly budget, you’ll be better off overestimating how much your groceries, electricity, and other variable expenses will be. This approach can actually reduce some stress about money because you won’t feel chained to a low number. Overestimate variable costs by 10 to 20 percent. Report your actual expense for that item in a separate column and figure out how much you ended up saving that month. Any extra funds can be put right into your savings account for that month.
· Buy used. If you’re in the market for a new car, a new computer, or just need some new furniture within the next couple of months, seek out used merchandise available in your local area to save on costs. Buying new could put a big dent in your budget and wipe out most of your savings. Play it safe by purchasing used items if you absolutely need to make the purchase right now. Shop at garage sales, check out Craigslist or scope out the Facebook Marketplace to see if any Facebook friends are selling anything you need. If you can hold off on the purchase for about six months, find a way to save up money for a new purchase instead.
· Stick with your budget. Get into the habit of reviewing your budget regularly so you aren’t making frivolous purchases. Take a good look at the numbers so you know how much you are able to spend on certain items each week. Whether you’re buying groceries, gas, new clothes, or eating out, make sure you know what your spending range is for that week so you aren’t over your budget by the end of the month. You might not be able to cut out or reduce these expenses significantly, but you will be able to set some caps or limits on these expenses to make your budget work.
Comments