Money Management And Your Family - Part 2

2006-09-25

Back to Part 1 of Money Management And Your Family

Have a cash reserve of at least fifty percent of your yearly income
Having this is a huge progress in your family’s saving status. It would also minimize impulsive spending. Saving is very important as it also gives you a feeling of security in case of emergencies and in times of need. It is vital to proper money management.

Don’t nurse a careless shopping habit
It is no secret that people are persuaded by the advertisements they see and most would eventually give in to their indulgence. This is the reason behind careless shopping habits. This can be minimized if you would try comparing prices and values of products. Read labels and ask for better deals. Don’t give in to the pressure of salespeople’s tactics.

Be aware of small spending leaks
Shopping on an empty stomach increases the possibility of impulse buying. You’ll be surprised with the amount of food you bought just because you craved for everything along the way. Frittering money away for unnecessary “cheap” items can be summed up to a whopping amount. Stay away from the idea of window shopping to kill time, you know you’ll end up buying things you did not plan on purchasing in the first place.

Invest for the future
Get rich quick schemes never work. Stick to the slowly but surely road to money management success. This also goes in keeping with the buy later attitude that you as well as your family must master; you should learn to save first. Don’t go on thinking those investing a huge sum of your money on something that will make you rich in a snap will work. Be practical and research on it and think, think, think, instead of dream.

Continue to Part 3 of Money Management And Your Family

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» Financial Counseling Before Marriage
» Financial Planning For Women
» Planning a Family Budget That Works

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