How to manage your personal finance? – Oladele Owodina

Oladele Owodina
How to manage your personal finance Oladele Owodina

Imagine you get the financial freedom that you deserve? You think of your future and you owe no debt, you can buy anything and, most importantly, you can travel to any place in the world at any time you want.

Well, if you have just taken yourself to that future. I suggest you come back here and complete reading this article. Because it contains just the secrets you definitely need to get that financial freedom you just dreamt of.

And I promised you that once you follow the principles and steps in the book, you will be able to master personal finance and take extra steps towards achieving that goal.

Isn’t that cool once again?

Now, let’s go.

Having the required level of discipline for your finance is difficult. Everyone who now controls his finances knows that. We have all been there.

Sadly, you have no choice as financial discipline plays a major role in all aspects of your life. It eliminates financial stress and limits the stressors in all other wellness wheels. Your overall wellness will surely be happy for it.

First, you become more aware of your money spending habits. That is, you become more aware of where and how you spend your money. Then, it becomes easier to plug those leaking unnecessary expenses and you are finally able to save more money and make better financial judgements.

Who doesn’t want this? You sure do.

The real deal — Managing finances

Ordinarily, you should be taught how to manage your financial resources i school. It is something you have to do all your life.

You get it right and life becomes smooth. Anyways, since most schools failed to do that. we are here to help you.

Check out these 5 basic and simplified steps to mastering your finances. It is definitely not difficult to follow.

1. Track your expenses

Most people will ask you to create a budget. But how do you treat a sick person without checking the symptoms?

So for a start, your job is to track all that enters your purse and account for how it leaves you. Simply put, what did you earn? How did you earn it? What and how did you spend it?

Once you start this you get an insight into how you spend your money.

You must be meticulous and account for every penny.

2. Create a financial goal:

This stage is very interesting. I want you to remember the financial dream we talked about earlier. Yes, dream about them once more. Savour the utopia of no financial stress. It is very possible to stop getting broke every month’s end.

Now come back to life and create a plan to achieve it.

Do you know what they say about chasing dreams? Turn them into short and long term goals — break them into a daily or monthly set of tasks — do all you can to complete these tasks effectively and, you have achieved your dreams in no time.

This is no different from your quest for financial freedom. You still have to

break them into a set of goals and tasks. You do this and you are very close to your financial dream.

So how were the income and expenses tracking you did in step 1? If you did a good job, then you should by now be able to make better financial decisions.

You know, enough of wasting these scarce resources and turning them into soldiers that will help combat your financial stress.

Have a list of goals you want to achieve. Let’s say, you want to cut down 10% of your monthly cost, you need to do the maths and cut it daily. It can be as easy as removing the extra meat on your lunch.

And if you want to save for a vacation or start your retirement plan, then it might be time to reduce your pizza cravings. Anyways, it always helps that you had astray expenses that you didn’t even know about. Doing step 1 right means you may easily reduce burden in step 2.

3. Create a budget

You have know your financials, you know what you want to do with your money. How about you create a strict plan to turn that dream into a reality.

So now, create a budget and stick with it.

And when we mean stick with it, we mean following the age old advice of living within your (new) means.

Don’t forget you still have to track your expenses and record your daily spend and income. You can get a device to keep you on track.

And in your best interest, reward yourself when you spend within your budget. That reward should, of course, be in your budget as well.

4. Pay off debt

You might not have expected this but you shouldn’t have debts hanging around you. They are called quicksand for some genuine reasons.

Debt can also be good but be very careful and have your plans perfectly executed. Except in unfortunate circumstances, any debt must yield you more money in the long run.

It is sometimes sad but bad things happen.

5. Invest in your future and create extra sources of wealth

It’s never how much you make, it is how much you keep and grow.

Yes, we have advised you to create a plan and cut expenses, However, you can’t survive if you are playing defensive. You need to mix up tactics to eventually win this financial game.

So keep money. Save to invest. Explore bonds, maximize other money growing schemes, have a side business, join business partnerships.

The end game is to turn your money into foot soldiers that get you more money when you sleep.

Managing your finance is something that affects every part of your life. If you manage it well, you will live a healthy, happy and productive life. But if you mess it up. Then, you might be in for a rude awakening in the not too distant future.

Now you have learnt how to manage and control your financial resources. We hope this doesn’t pile up to a list of wasted financial information in your arsenal. Use this information and we promise (now promise yourself) that financial stress will no longer be a thing of worry for you.

Managing your personal finance is like growing a muscle. It takes time.

Just enjoy yourself and see it as a process. We hope you mail us about your journey to financial freedom. Cheers.

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