Personal finances tips

Sometimes managing our finances is not an easy task, espescially for business owners. Also, for many people the concepte of having a budget simply doesn't exist. Not only this, but many people tend to spend way more than they earn. This is just an example of many things that people do that affect directly theire finances. Indeed, not carring about your money will simply put you in a position where it will disapear and you will have no idea where it has been spent. This is the situation where many families are right now all around the world. This is also why many persons around the world are living paycheck to pay check and strugle to pay there debts. But, even with a small income it could be possible for anyone to take care of their finances and manage to save some money on the side. This article will give you some tips to help you improve your finance and this no matter what is your income is.

Creating a Budget

Yes, one of the most important things to do is creating a budget. By doing so, you will be able to see how much money you make and how much money you spend. This is also one of the best ways for you to fix yourself financial objectives. By having those, you will be more disciplined and will not only improve your finances but also improve yourself. If you are not sure about how to build a budget you can read our related article about it.

Paying off credit cards

For many north americans, credit card debts are a real problem. Indeed, the majority of people are taking years to pay off there credit cards. This situation put a lot of stress on the shoulders of thoses people. Not only this but very often thoses debts don't even go down because people only pay the interest on there cards. A good way to close those debt can be negotiating with banks to lower the interst rate. Also many banks offer a one year no interest when you transfer your debts to them. this can be the best option for everyone because this way insted of paying the interests on your debt you will pay the actual debt.

Saving money 

Another thing to do is starting to save money. But, it's very important that you pay your credit card debts first. Indeed, Your saving account won't pay you more than 2% per year and your credit card charges you at least 19% per year. So if you decide to save money instead of paying your debts you will actually lose money since your return rate is way lower than the rate you pay for your credit card. That is why it's important to pay your debts first. Once you don't have any debts, the money you save will be here in case that something happens or simply if you have a financial goal. 

Start a side hustle

It will come a time where the money that you earn at your job will simply not be enough for you to reach your goals. When this happens, don't give up on your goals because of money issue and simply start a side hustle. Yes, it could be something as simple as starting a part time job but by doing so you will still sell your time for a salary. What I mean by a side hustle is a business that can eventually be you main hustle and replace your job. This way you will be payed for your effort and not for your time. It could be any type of business, from a traditionnal to a completly online business if it has the potential to grow it's a good idea. 

In the end, it's you who will have to take action to reach your financial goals. But, if you are erious about it and you follow the four points mentionned above you are on the right path to reach financial freedom.