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12-11-2019

5 Ways to Becoming Financially More Intelligent

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Financial Blog

We pass many different subjects at school, and some of the knowledge we get there is never used during our lives, but unfortunately, we are not thought useful financial skills for a better future. Most of the teenagers struggle at the beginning of their work lives and learn through trial and error. People deal with money throughout their lives and if they don’t know how to manage money flow and have a balance between their incomes and outcomes, then financial hardships are inevitable.

This is the main reason why so many people hardly manage to take care of their regular expenses, and can’t enjoy life in a way they would like to. Some people think if you earn a lot of money, it will suffice for everything and only the ones who have shortage of cash need to think about being financially organized, but that’s not the point. Money is never enough and sooner or later everybody comes to this conclusion. No matter how high your salary is, it is spent even sooner than you get the next one, that’s why it’s time to think about what habits of you make you fail to put away some cash.

We are glad to present a list of advice to help you become financially more intelligent and establish stability between your monthly incomes and outcomes.

1. Benefit from changing your accounts to another bank

This may sound illogical at first, but there are many banks that are ready to do anything to attract new customers. So you may greatly benefit just by moving your accounts into their bank. There are also companies that suggest attractive bonuses for just creating a new account there. You should be doing regular research on that and try to find out what new offers there are. This information is also available on the Internet, and there are many websites that suggest a comparison of banks and give a list of best offers.

2. Sell and gain

Anyone can find some things that haven’t been used but still have their place at the house. There may be collections or a piece of furniture that is hard to get rid of because once you paid so much money for it. Psychologists advise getting rid of unnecessary things from your house as they kind of attach you to your past, they also take much place at home and taking them out of your house will make your rooms more spacious. Not only it’s psychologically beneficial, but also financially. Very often you can gain a lot of money by selling the things you don’t use.

3. Don’t overspend

Budget gaps appear when you spend more than your income is. It may seem easy from the first sight not to go cross your spending limit but many people actually fail at doing this. Surprisingly, it is one of the main reasons why people run out of money before they get next paid.

There is a phenomenon called impulse spending which means you buy something you don’t really need, and very often people regret their purchases, but it’s too late. In order to avoid that situation always think twice before buying something and you will save money to get more important things and avoid stressing over money deficit.

4. Form good spending habits

Remember that being financially successful is all about your spending habits. Wise decisions made at the right time can make a huge difference. If from now on you save 10% of your monthly salary, in a couple of years, you will have a good habit of putting away money no matter what, and of course a reliable reserve funds. It’s important to have sufficient savings so that whenever you have to deal with an emergent expense, you don’t panic because of lack of funds.

5. Saved penny is an earned penny

If you can pay less for something, it’s definitely worth waiting a little bit. If you intend to save money, try to do your purchases at a lower price. Take into consideration sales available at different periods of the year and benefit from them. There are also cards that save some percentages of the money you pay, it may seem insignificant, but remember that over time it may grow into a useful sum.

Just let us know how much you need