The first step to becoming rich is obvious: generate more money than you spend. But is it easy? The answer is no. If we do not apply the right methods, you will chase problems and lose patience.
And the easiest way to do that is to have good financial control and save money. To put into practice all the rules on how to save money, it is essential that you know your active and passive income and your expenses.
How To Be Rich In Saving
It is essential to know the fixed expense items to assess where you can reduce unnecessary expenses. I admit: At first, the changes will be difficult and you will have trouble changing your bad habits, but the result is there. You’ll think that saving will be impossible, but in fact, you just have to make some basic changes to notice that it’s not that hard to put aside. As the days go by, the economy is getting smaller.
Family Budget Organization: Methods To Be Applied
Let’s start with simple rules that are easy to set up. Little by little, the rules will be more and more complex. So, hang in there and have a good read. Some basic reminders. Compare the prices of different supermarkets and brands. This may sound like a simple rule, but it will take time when you start. Compare not the prices displayed, but the prices per kg or liter. Make a shopping list and avoid buying products outside of it.
Beware of fake promotions and make sure the reduction is well worth it.
Avoid unnecessary expenses. Do not make impulsive purchases. Buy in cash, instead of using your credit card. When we use our credit card, our brain does not perceive the same way when we use tickets to pay for our expenses.
We are more aware of our expenses when we waste our money with tickets. This money is in our hands and we have more trouble spending. For example, when you go out shopping, withdraw cash instead of using the credit card. Set a limit budget and do not exceed it (in itself you can not exceed it because there will be more money).
Money Saving: 30 Days Rule
With the credit card, this money is fictitious and we do not immediately perceive the money exceeded (only when our card is refused or a red account, is not it?).
Cancel subscriptions to services you do not use. Monitor bank charges and look for free accounts and non-cash cards. Another little tip. Another interesting tip is to set limits for expenses, such as the maximum amount to spend for recreation, clothing or beauty salons and hair salons, for example. Thus, expenses are controlled and your wallet too.
How I Save 2450 Euros In 360 Days
How to be rich by spending little money? The economy is different from savings. It is very important to differentiate these two steps to turn your savings into something truly meaningful.
When you save money, you do not necessarily save money. It may be that you save in one day, and the next day, spend this economy for something else.So you save on some expenses, but you do not create a financial reserve.
How To Better Control Your Finances?
On the other hand, saving money is very important to constitute a real financial reserve and thus to start being rich. Saving money is a direct and effective way to increase your capital and become an annuitant of your money.