Do you have a savings plan? Do you know how much you spend? Follow these 5 easy steps to easily and quickly improve your financial position and achieve your goals faster.
1. Spend less than you earn
Have a good look at how much you earn and make sure you spend less so that you can put money aside to save. It sounds simple but many of us don’t know how much we spend. Which leads me to number 2.
2. Stick to a budget
A budget will show where your money is going. Once you know how much you’re spending, it will be easy to work out what you can cut to fast track savings growth.
3. Pay off your credit cards
Unless you pay your credit cards in full at the end of the interest free period you’re probably paying more for things than you would have if you paid in cash.
4. Have a savings plan
Set some short, medium and long-term goals and set aside 5-10% of your salary for savings.
Investing your money has the benefit of locking it away and the interest earned compounds which grows your investment exponentially.
Once you know where your money is going, you can control it better. Set a few clear goals and focus on achieving them. This will make it easier for you to save and you’ll be well on your way to achieving the freedom that having money provides.