manage money

5 Ways to Manage Your Money

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Taking care of your finances can be stressful, especially if you’ve never been great at managing your money. While they say there’s more to life than money, it is a crucial aspect of many parts of our lives. 

ways to manage your money

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Money can be responsible for all sorts of stress, including relationship stress, so it’s important to find the right balance to help you keep on top of things. Read about five ways to make managing your finances stress-free below.

1. Create a budget

This is something you’ll hear a lot, but it’s one of the most effective ways to manage your money. Creating a budget helps you to stay in control of what’s coming in and what’s going out, allowing you to adjust for changes in your financial situation. Set yourself a realistic budget that you can stick to, and don’t forget to allocate money to your savings – even if it’s just a small amount.

2. Enjoy the benefits of separate savings

Most people find themselves saving for different things at the same time. You could be saving for a house or vacation, saving for a rainy day or even saving for your retirement. Rather than having one savings pot, open different accounts to help you achieve your savings goals. Advanced payments can help you manage what goes where each month, and you can always save in less during times where you might need more change in your pocket.

3. Manage your credit 

Being in debt is a big cause of stress for individuals and couples, so it’s important that you get a handle on your debt situation. Start by paying off the highest interest accounts or arrange a balance transfer so that you don’t end up paying back significantly over what you borrowed. Never skip payments as these can harm your credit ratings, and make arrangements with your creditors if you’re finding your repayments too high to manage.

4. Have a plan in place for emergencies

Now and then, an emergency can crop up which could impact your finances. Car repairs or sudden home improvements are a classic example. Having an emergency savings pot is a great idea, but it may not always be enough to cover you. Taking out a loan with could help you cover your emergency payments, provided you can put a plan in place to pay it back. Try not to rely on credit for non-urgent things, as this can help you become reliant on having credit around.

5. Talk to someone when you need help

A problem shared is a problem halved, and when you’re particularly concerned about your finances, you should talk to someone to help ease the stress. While you can talk to someone you know like a friend or family member, you could also talk to someone online or join a forum for advice. Sometimes just talking helps, and could help you find solutions to your problem that you haven’t yet considered.

Managing stress isn’t always easy, but learning to control your breathing through beneficial breathing exercises can teach you how to be calm. There really is more to life than money, so find other things in your life to focus on and enjoy to help you beat the stress of dealing with your finances.

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10 thoughts on “5 Ways to Manage Your Money”

  1. I totally agree with you that financial problems can be so stressful. I love what you said about having different savings plans for different things that you are saving for. I never thought of doing that before, all my savings are in one place but I think I need to reassess that so that I can split it up for different things.

    And yes a budget is essential and I have found now with this crazy pandemic and a drop in income I have had to reassess my budget and cut out all non-essentials.

    1. Hi Lynne,
      Separate savings and checkings account too, are actually great ways to keep your money organized. I learned that from a bank teller surprisingly. It is a nice trick but not something we naturally thank of so no worries, that is why I love learning things from others. Thanks for the comment!

  2. Hi,

    Great article, thanks for taking the time to put this together.

    I loved your idea of having different savings accounts for each goal. That makes a lot of sense to me. Also the advice about not using credit and having an emergency fund.

    I find that putting something aside each month, even if its not much helps to keep the savings growing.

    Also, I’ve found that its the small things that cost a lot more than you realize. Even a single coffee each day on the way to work can add up. It can be really usefull to list every single outgoing for a month, its surprising how much can be saved without really missing that item.

    Thanks again, Judy

    1. Hi Judy,

      Yes, that is very true, saving even a few dollars here and there will still be beneficial and small purchases still add up. When making a budget, you should definitely make a list of all your expenses, even the small ones, so you can properly evaluate your expenses because you are right those small things do add up. Thanks for the tip!

  3. Hi,
    Those are good tips there for managing our finances.
    I can also add one more point
    Start a side hustle like affiliate marketing or any other
    Thank you and best wishes.

    1. Hi James,
      That is a great tip, a side hustle, especially with the extra time we may have now, is a great way to earn some extra cash. Thanks and all the best!

  4. Hey Melissa,

    Well done great blog, you have outlined these points very well. Yes, money is the big one on all levels. Good and bad that if you’re not watching over. But you pointed out 5 very good things in all the levels of anyone in life at any stage if can happen.

    It’s always good to talk to someone if you need help too.

    Tommy. 🙂

    1. Thank you, Tommy and I agree talking to someone is a good way to get help. Sometimes others can pint out things we may not see or have advice for a situation they have already gone through, we can always learn useful things from others. Thanks for your comment!

  5. Thank you for these great advices! I can very much relate to your post. Many years ago, my husband was sent by his company to manage a foreign branch. We accompanied him, of course. In a country where everything was much, much more expensive than I have been used to, I was quite frightened-how are we going to “survive” here?
    So, I started to carefully plan our expenses, my shoppings for groceries and baby stuff (our daughter was just a baby back then) and kept track of every dime I’ve spent. I remember it as a not so stress free time. However, after about 6-8 weeks I had a clear picture of where I can and need to cut, managed to sort things very well and even had a free window for saving for the rainy days. That’s when the stress free time started and I learnt a valuable new skill-managing money.
    Your post will, I’m sure, help many moms to do the same.

    1. Thanks for sharing your experience Minaher! Managing money is a great skill to acquire and through experiences such as yours, we can often be forced to learn it very quickly. Being a mother is definitely stressful enough if you don’t take the time to budget your money, so I thank you for sharing how valuable money management played a role in relieving some of your stress. Thanks for the comment!

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