Money is hard to earn but easy to spend, which is why so many people have trouble keeping their budget under control. If you’re forever counting down the days to payday, here are some simple tips for managing your money better.
Look into the ways that you’re overspending
It doesn’t matter how much you earn, if you’re overspending and wasting money then you’re forever going to be in a pickle with your finances. Get strict with yourself, set a budget for things like groceries, socializing and luxuries and stick with it. Work out a budgeting system that works for you, it could be a spreadsheet, an app or a good old fashioned notepad. All of your essential bills should be paid for before any extra things are purchased, it can be helpful to have a separate account just for bills. That way you can transfer a set amount each week from your main account, and they don’t accidentally get spent back onto.
Start a side hustle
A side hustle can allow you to earn money in a flexible way, often from home and around your regular job. You could start a blog, and later down the line seek paid opportunities. You could join a freelancing site, or start your own home business. There are loads of ways to make money fast, you don’t usually need to make an upfront investment to get started and you can work on these things as little or often as you’d like. Monetizing a hobby is often a good way to go with this, for example if you’re a great baker you could start making occasion cakes from home and promoting them on social media.
Gain a promotion
One of the best ways to earn more money in a way that’s guaranteed over the longer term is to gain a promotion. You might be able to simply ask for a raise, otherwise this could be a longer process of changing career. You might need to do some voluntary work first, or even go back to university and gain a degree. But getting a better job means more money overall, and can also help you to reach your own personal career goals. Have a think about where you are now and where you want to be. Is there a way to move up in your current job, or would you need to join a new company or completely change the industry you’re in?
Create a savings plan
Once you’re earning more money, one of the best things you can do is to start saving. It’s recommended that we each have two savings plans, one for long term and the other for shorter term goals. You long term savings account acts as a ‘buffer’ if anything goes wrong in life- your rainy day fund. It should only be touched in a genuine emergency and if you find a high interest account it will earn you a little extra too. On top of this, a shorter term savings goal can allow you to save for holidays, new technology, a new car or whatever it is that you want.