Looking for personal finance tricks to improve your financial positions and to avoid money problems ? “Everyone wants their kids to go to college,” says Aliche, “but it’s more important for you to save enough for retirement. Because the best gift you can give your child is not a free ride to school, but rather not to be a financial burden on them when it’s time to start their own family. Kids can get student loans or go to community college for two years; no one is going to lend you money without collateral when you’re retired.” Check out this timeline to help you save for retirement.
Use Money and Budgeting Apps to Stay Organized: As a finance beginner and even expert, you should use some sort of money or budget app. These can organize everything into one big picture for you. Apps like Personal Capital, Mint, You Need A Budget, etc. can keep you focused on financial goals and monitor your spending. Invest In Yourself Before Anything Else: Before you get crazy with investing any of your money, invest in yourself. Whether that is your financial education, taking classes, buying courses or books, starting a side hustle to make extra cash, etc. The best asset you have is yourself. Read additional info at Make Money.
One of my favorite subjects: budgeting. It’s not a four-letter word. How can you know where your money is going if you don’t budget? How can you set spending and saving goals if you don’t know where your money is going? You need a budget whether you make thousands or hundreds of thousands of dollars a year. Credit card debt is the number one obstacle to getting ahead financially. Those little pieces of plastic are so easy to use, and it’s so easy to forget that it’s real money we’re dealing with when we whip them out to pay for a purchase, large or small. Despite our good resolves to pay the balance off quickly, the reality is that we often don’t, and end up paying far more for things than we would have paid if we had used cash.
A Credit Card is Not Free Money: A credit card is a useful tool in your finance toolkit, but it’s not free money. When you purchase something with your credit card, you are borrowing money from the bank. If you don’t give that money back in time, the bank is going to start charging interest on your balance. This debt can build up and become a monster if you don’t pay off your balance every month. However, if you use a credit card responsibly and pay off the balance every month, it’s a good way to start building credit. Most credit cards also have other benefits such as rewards points, cash back, or travel points. So, should you have a credit card? Well, it depends. If you’re capable of paying off the balance in full every month, then you should have no problem managing a credit card and staying out of debt. PS: If you are going to use a credit card, you should monitor your credit score & credit report regularly with a free tool like Credit Sesame (or Borrowell if you’re in Canada). One last tip: Treat your credit card as a debit card. Pay it off in full every day if you have to. I try to pay off my balance every couple of weeks so that I don’t forget. I also use Trim to remind me when payment is due. Visit: http://aspiretomoney.com/.