The Dreamer mind Magazine
Personal Finances
How to improve your savings with this SIMPLE STEPS
As I say before, habits are the real controllers of our possible destiny. We need to start doing things that will take us to where we want to go. So, where you can start? Well, I suggest you that start with all your coins. Take all the coins you have and put them inside a can or moneybox. Use anything you like to put all the coins inside. Use this space to save all the pocket coins or returned cash of the day. This habit is a pretty simple, put all the small bills or coins inside a moneybox. After a certain time, you will have a good amount of money there, just because you decide to put it where you can't touch it often.
Now that we start collecting all our money, you need to count and hide all your cash. Be organized with it, discipline yourself enough to have everything organized in your life. Being clean with all your stuff and money will give you the right jump start for being efficient in your savings.
Never put all your money in the same place. You can use bank accounts for at least 70% of your money and the other 30% of cash or investments. Understand that you need to have a monthly income for this. If you haven't created a way to make money, you need to look for a job. Do not think this is a simple task, a lot of people believes that because they finished in a great university, they going to be gifted with a great job. The reality is a lot different than that. There're too many people in the world looking for the same thing you are looking for. Also, you need to understand that at first is better having a job than not having any. So look for balance, try to be as efficient as possible.
Use cash inside your budget; your cash will be the same amount needed to complete the minimum budget of daily consumption. Smart, successful people, cut their expenses the lowest possible, giving them a more beneficial monthly income.
I started with first costs, food, gas, light, water, telephone, and all the other daily things that cost us something. I tried to get monthly numbers for this task, dividing the resulting number by 30 days. The result will be your consumption point.
For Example,
Start with 50$, If you spend less than that, Great! You are now able to cut your daily budget ( was $50, now maybe $40 or $35). If this wasn't your case, you need to restructure your budget as a higher one ( maybe $60 or $70). Don't forget that you will need a debit card connected to your savings accounts to complete this phase without problems; you will need a backup plan if you spend all your money. It is not for you to spend more money. Your sub-budget needs to be always 25% more than the original budget. Try to connect all your online savings accounts; This will help a lot if you are in any way an investor.
Now you need to understand that every single thing in your home can consume your monthly income. It becomes the most important aspect for us. Ask yourself, Do I live a lifestyle inside my income limits? How much I spend on things that no longer suits me in my life? You will need to respond that yourself working on your daily budget every day.
Start saving money. Life is all about habits, if you have daily better practices each day, the probabilities will say that is possible for you to have better earnings or at least better savings.
We need to understand that the first step is to accept that we are mentally weak, that we need to say to ourselves -"I have to stop spending my money on things that I don't need or just don't have any real value for me." If we are lucky with this step, everything else will be like a walk in the park.
As I say before, habits are the real controllers of our possible destiny. We need to start doing things that will take us to where we want to go. So, where you can start? Well, I suggest you that start with all your coins. Take all the coins you have and put them inside a can or moneybox. Use anything you like to put all the coins inside. Use this space to save all the pocket coins or returned cash of the day. This habit is a pretty simple, put all the small bills or coins inside a moneybox. After a certain time, you will have a good amount of money there, just because you decide to put it where you can't touch it often.
Now that we start collecting all our money, you need to count and hide all your cash. Be organized with it, discipline yourself enough to have everything organized in your life. Being clean with all your stuff and money will give you the right jump start for being efficient in your savings.
Never put all your money in the same place. You can use bank accounts for at least 70% of your money and the other 30% of cash or investments. Understand that you need to have a monthly income for this. If you haven't created a way to make money, you need to look for a job. Do not think this is a simple task, a lot of people believes that because they finished in a great university, they going to be gifted with a great job. The reality is a lot different than that. There're too many people in the world looking for the same thing you are looking for. Also, you need to understand that at first is better having a job than not having any. So look for balance, try to be as efficient as possible.
Use cash inside your budget; your cash will be the same amount needed to complete the minimum budget of daily consumption. Smart, successful people, cut their expenses the lowest possible, giving them a more beneficial monthly income.
I started with first costs, food, gas, light, water, telephone, and all the other daily things that cost us something. I tried to get monthly numbers for this task, dividing the resulting number by 30 days. The result will be your consumption point.
Now that we have the Consumption point, we need to live below that level. Try using the limited money method, I used it for a lot of time, at the end of a period I was able to save 50% more of my previous monthly incomes. It is very simple, start with an amount and change it till you get the balance point.
For Example, Start with 50$, If you spend less than that, Great! You are now able to cut your daily budget ( was $50, now maybe $40 or $35). If this wasn't your case, you need to restructure your budget as a higher one ( maybe $60 or $70). Don't forget that you will need a debit card connected to your savings accounts to complete this phase without problems; you will need a backup plan if you spend all your money. It is not for you to spend more money. Your sub-budget needs to be always 25% more than the original budget. Try to connect all your online savings accounts; This will help a lot if you are in any way an investor.
Now you need to understand that every single thing in your home can consume your monthly income. It becomes the most important aspect for us. Ask yourself, Do I live a lifestyle inside my income limits? How much I spend on things that no longer suits me in my life? You will need to respond that yourself working on your daily budget every day.
Try to use Excel for to help you with the day-to-day and monthly calculations, if you do not know how to use it, look for tutorials online, YouTube is an amazing way to start looking for them. Excel will be your best friend after you learn how to use it. I was able to create longer income and expenses analysis projections.
