The best financial advice you will ever receive boils down to 5 words. Are you ready for it? It’s not anything complicated, it’s just a matter of common sense:
“Spend less that you earn”
Really! That’s it! If you think about it, we try to over complicate so many things in our life, our finances included. We’ve grown up in a culture that puts a premium on top notch goods, and encourages us to spend more than we can afford through that material mindset. Instead, we should cultivate a wealthy mindset, that enables us to have the things we want, while taking care of our daily necessities, and maintaining a budget. There are several useful self-help techniques that will enable you to take charge of your personal finances and skip the middle guy. For example, resources such as free tax software help you bypass the need to pay an accountant to prepare your annual income tax. Opting out of paper statements could save you a few bucks with your monthly checking account, and even developing a frugal mindset by couponing at the supermarket, and buying only what’s needed on your weekly grocery list. A healthy way to trim costs is to start small, combining errands to shorten mileage and save gas, by using effective time management skills to complete tasks you can do for yourself, you will be saving money to secure a brighter future. There are an infinite amount of resources available to help you spend less that you earn. When you spend less, you are able to put money aside for an emergency fund, to pay off debt or finally start building wealth.
In what areas can you cut out spending so you can start spending less than you earn? Here is a list of money saving tips to get you started. Please leave a comment and let me know what you have cut out, your comments will help other readers!