Personal finance is a widely ignored subject among many Americans. Consider this article a primer in basic finance and budgeting to ensure you remain financially solvent in your retirement years. You can create a budget and stretch your income, as well.
Never sell unless circumstances suggest it is wise. Leave your stocks alone if you’re earning money on them. Take a look at stocks that are performing less well, and think about making some changes with them.
When you are out and about, bring an envelope with you. It will come in handy for storing business cards, receipts, and other small documents. Keep them around so that you have a paper trail. You may need them to compare to your credit card statements in the small chance that you are double charged.
Having a savings account into which you regularly deposit money will help you achieve financial stability. You will be able to face unforeseen events and will not have to get a loan when you’re strapped for cash. You may not be able to put much in each month, but it is still important to save regularly.
One of the benefits of online banking is that your bank can send you online alerts to help you manage your money. Many banks will send you email or text message updates in the event of changes to your account. Having a large withdrawal or low balance alert will protect you from fraud and overdraft.
Credit card rules have changed recently, be wary if you are below the age of 21. In the past, cards were given to college age students freely. Today you need to have someone co-sign on your account unless you have a verified income. Figure out what the card’s requirements are prior to applying.
Keeping a tidy house is a good thing, but tossing or selling old possessions without making at least a minimum effort to ascertain their real value can be a costly mistake. If someone sells a classic piece of furniture for its true value, rather than throwing it out, their personal finances stand to improve.
A good way to keep your credit from being damaged by late payments is to set up an automatic bill payment with your debit account. This way, even if you forget, you will not be late.
To eliminate the most debt quickly, pay off credit card debt first. You might want to spread your payments evenly to all of your bills, but starting with those those high interest cards is cost efficient and ultimately better. Since credit rates will rise in the next few years, this is an action that you should take very soon.
Don’t beat yourself up if you make a mistake with your finances, as everybody does sometimes. Many banks offer a one time fee waiver for individuals who bounce a check the first time, so if this happens to you it is worth making the request. This courtesy is usually only extended to customers who are consistent in avoiding overdrawing their checking account, and is usually offered on a one-time basis.
If math is not your thing, enlist the help of a checkbook balancing software program. Not only does your bank likely offer a free online banking interface, but there are also a number of useful money management software programs out there.
Make sure that you properly maintain all your financial information rather than waiting for a time where you actually need all that information. You can group receipts, insurance documents, healthcare statements, and other important pieces of information together, where they will be easily accessed around tax time.
Armed with this knowledge, you can now make wise decisions regarding money and avoid unnecessary expenses. A savings account is a great way to save money, but you should look into other options as well.