Handling your money can seem like a complex puzzle at times. However, doing so is important if you want to manage your money well and make it grow. And although taking stock of your finances may make you rack your brain, do the tedious number-crunching, and get into the nitty-gritty of your finances, you’ll see that it’s worth the effort as you will be left with some extremely crucial information about your wealth. Whether you make a lot of money or lesser than you want to, one of the best ways to multiply it is by learning to manage it well. There may be several expenditures that you are making and there must be a part of your income that you may be saving. But do you know how much your daily monetary transactions add up to? Are you sure you’re going to be left with enough to meet your future needs? The answer to all these questions lies in knowing how to manage your money. Here’s how you can do that. #1. Keep a Track of Your Monthly Expenditures One of the easiest ways of keeping tabs on your finances is by recording where and when you’re spending your money. Once you do this for a couple of months, you will figure out where you need to cut down your spending or re-allocate your money to get better returns. A lot of people are unaware of how much they spend each month on food, clothing, entertainment and housing. This is one of the main reasons they tend to save very little at the end of the month. Whether you make your payments through cash, credit card or debit card, do make a note of your expenses and total them up at the end pf every month to get a clearer picture of your spending habits. #2. Set Aside a Budget and Stick to It It makes sense to set aside a fixed amount of money for taking care of the necessary monthly expenditures in a bid to better manage your money. Once you start tracking your expenses, this step should seem easier and more practical. Do make it a point to develop a realistic budget. Don’t be stingy to the point that you become frustrated and lose complete track of your finances once again. Both these aspects work hand-in-hand to ensure that you have better control over your hard-earned monies. #3. Make Sure You Save While it may seem like a sacrifice initially, saving money can bail you out on a rainy day. You can either stow away a certain amount aside every month in your locker or open up a savings account and deposit a part (at least 10%) of your monthly pay into it. All extra earnings and monetary gifts should find their way into the savings account as well. #4. Go Through Your Credit Report Did you know that the information mentioned in your credit report has a significant impact on your financial future? It is, therefore, important to go through your credit report once in a while not just to educate yourself, but also to check it for accuracy. If you find any errors, do get them rectified. Further, it is also important that you obtain your credit score. It is a 3-digit number that discloses to potential lenders and businesses about the state of your credit and personal finances. The higher your credit score number, the better the rating, and the higher chances you have of obtaining credit at a better rate. #5. Make Your Payments on Time It makes sense to record your monthly bills and set reminders on when the various bills are due. That way you can ensure timely payments, avoid late penalties and improve your credit score. For best results, try to pay your bills as soon as you receive them. #6. Get Rid of Credit Card Debt While not all debt is bad, credit card debt can make managing money difficult for you. While taking on a loan to pursue your education or to buy a home is actually a sound investment for a secure future, your credit card can make you pile on debts in an instant. And it gets worse – if you keep adding debt faster that you can pay it off, chances are you’ll end up bankrupt. It is better to stop using credit cards and pay off existing outstanding amounts as soon as you can. The sooner you do so, the less interest you’ll end up paying. #7. Assess Your Investments Whether you’ve invested in stocks, mutual funds, short-term schemes, or are buying and selling gold or silver, you need to take a look into your investments and make sure you have a diversified portfolio. That way you can safeguard your money to an extent even in a volatile economy. If you’re not sure where to put your money, take the help of an expert. Another important tool that protects you against unforeseen financial hardships is insurance. It is best to consult your insurance provider regarding a suitable cover for you so that your needs are protected and you don’t end up paying too much for coverage. #8. Deal Only with Legitimate Financial Institutions It is best to keep your money with a bank or other legitimate financial institutions to manage your money. Open a checking or savings account with recognized and accredited banks. There are several institutions that will compete for your attention. Make sure you make an informed decision by inquiring about their services and the fees levied for them before choosing one. Conclusion Gone are the days when being money-minded was considered a negative trait. We live in times when several financial institutes have come up, and schemes and services have been devised to help us stay on top of our fiscal matters. Pick the right one for yourself, make use of the facilities and I’m sure you’ll feel as though managing your money couldn’t have been any easier than this. 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