Manage your money wisely
Some people are actually astonished that the minus in their account is mainly due to the fact that simply more is spent than is taken - and not by special, unpredictable costs, for example buying a new washing machine. Anyone who is in the negative, has a variety of ways to turn it into a wonderful plus in the future.
1. Make a Cashdown
The first step to handle better your money is to get an overview of the current financial situation. Find all savings and investment accounts together and make an inventory. How much money do you have at the moment? You might create a list that you can extend or shorten if necessary. So you always have your financial reserves in mind.
2. How to Get an Overview
Keep first two separate lists of all your monthly expenses and income. Start with the amounts that occur regularly every month. Add to the expenses as much as possible a realistic amount, which you need monthly for variable expenditure. A good help is your bank statements, so you can not forget a job and can assess whether the amount for variable expenses is realistic. Compile all revenue and expenditure, and deduct the total expenses from the total income. Now is the moment of self-knowledge: Is the result a minus, or is there a plus?
3. Determine "green area"
Specify a new target account, which should be clearly positive. Stay realistic, do not set it higher than it really seems to be. On the other hand, if you make the necessary adjustments to just the monthly minus, you have no room for maneuver, and you will be back in the red area faster than you think.
4. Less spend
All clear: the difference between your minus and the newly created desire plus is exactly the sum that you will have to save on a monthly basis. Plan exactly how to distribute this sum to different flexible items. If you are not quite honest with yourself here, everything will be the same again within a few months.
5. To create a replacement for the reduction
Restrictions will hurt you, therefore, strengthen your desire for consistent savings by creating a suitable (but cheaper!) Replacement for each reduction. For example, the monthly contribution for the gym to the index, you should undertake a private sports program or register for courses in the local gymnastics club. If you want to save expensive restaurant visits, plan occasional gourmet dinner at home with your favorite ingredients. This means you will be much cheaper, but you do not have to forgo the culinary pleasure.
6. Stay consistent
The main thing about all these measures is that you really do it consistently. Resist all temptations to repay yourself through guessing purchases. Without becoming a stingy buddy, you should cut off a slice of Dagobert Duck and look forward to how the minus in your account is slowly becoming a significant plus again.
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