The first days of the new year are the best time to refresh your personal budget.
1. Decide on financial goals
What are your long-term goals?
2. Design a spending program
Many people spend two-thirds of the money they earn on the three most essential things: food, housing and transportation.
3. Resist the temptation of shopping pleasure
The task of salespeople is to spread beautiful words to `seduce` us to spend money.
4. Track spending
Record details of each expense every day and track it every two weeks to see which expenses are wasteful such as going to restaurants or taking taxis.
5. Don’t be afraid to bargain
The listed price often still has a portion reserved for customers to negotiate.
6. Learn about the product online before going to the store
Looking at products online before going to the store is the fastest way for you to find the cheapest place without having to go out.
7. Earn money from more than one source
Having just one source of pay puts you at risk if you lose your job or your salary decreases.
8. Own business
Many people have decided to quit working to open their own business, in order to gain the right to make their own financial decisions.
9. Negotiate salary increase
If you are still working in the company, you are still luckier than many people who are unemployed.
10. Pay off high-interest debts first.
Credit card interest is one of the highest interest types of debt.
11. Try to pay all debts early
Besides high-interest debt, do you have any other debts such as college debt, home or car debt?
12. Minimize investment fees
When you invest money through companies and organizations, fees are charged.
13. Start early, invest often
The power of compounding is that the more you save early, the more money you have to invest and save for retirement.
14. Don’t watch the market every day
The market always increases and decreases.
15. Calculate your financial plan for retirement
In your personal financial chart, you need to determine how much money you will have when you retire.
16. Save for retirement in small steps
Saving 10% of your income for retirement is too much.
17. Live with relatives
If you are not married, living with your parents or siblings will save you a lot of money.
18. Learn to say `No`
Before accepting to help someone, you must consider your personal financial situation.
19. Live simply
The recent financial crisis has helped many people adopt simpler living habits, such as learning to do many things themselves instead of hiring workers, cooking at home regularly instead of going to restaurants, cycling instead of spending money on food.
20. Find simple hobbies
The hobby of shopping needs to be replaced with other hobbies such as visiting museums, joining groups or going for a picnic.
21. Plan your meals for the week
Food accounts for a sizable portion of monthly expenses.
22. Consider when to give birth
According to statistics in the US, raising a child from birth to age 18 costs a quarter of a million dollars, not including college costs.
23. Use less product
There are unnecessary things that you are still using such as expensive bathroom cleaning products, body lotion, and perfume.
24. Turn off the device when not in use
If you do not watch or listen to devices such as TVs or DVD players, you should turn them off immediately.
25. Do charity
Give away is to get back.