Does thinking about your finances send a shiver up your spine? You may be afraid of your money. Your attitude towards money can affect you positively or negatively. Luckily, even if the thought of your finances fills you with dread, you can take certain actions that will enable you to take back control.
These tips will help you get a handle on your finances:
Don’t be afraid to handle your own bills
If you’re in the habit of having someone else handle your bills, begin doing them on your own and understand them. Take one day a month to sit down, go over your bills, and pay them.
Ensure you’re saving money every month
A good rule of thumb to follow is to save 15% of your salary each month and put it into an account that earns interest. Once you’ve built an emergency fund that you’re comfortable with, start investing your savings.
Consider refinancing your mortgage
When interest rates are lower than the one you started your mortgage with, you may be able to save thousands of dollars on your mortgage by refinancing. This is particularly true if you intend to stay in your house for years. Do the math to see if refinancing would be advantageous for you.
Make investments wisely
Investing in your future is good for you and your family. Seek professional help from a financial advisor if you’re unsure which investments would be right for you.
Understand interest rates and fees on your credit cards
Make your payments on time to avoid extra fees. See if you can negotiate a lower interest rate with your credit card companies or switch to another credit card.
Understand your taxes
If you can’t handle these yourself, hire a CPA to assist you. Learning how to do your taxes gives you a tremendous amount of confidence.
Rethinking your finances may take some patience on your part. These tips will help. Just try one strategy at a time. Once you get used to that strategy, add another. Repeat this routine until you’ve mastered all 10 tips. If you need further assistance, it could be beneficial to hire a financial planner to guide you through the details.
Join us with your morning brew to learn something new.
ONE SIP AT A TIME!