Financial planning helps paying monthly bills without delay

Financial planning helps paying monthly bills without delay

Personal financial planning is the implementation with greater accuracy of controlling the inflow and outflow of money on a personal or family level. Control can be done in the short term or with forecasts and budgets.

Financial planning is a management tool thatis applied to your income and expenses. As the name implies, it is you who must organize all your income and expenses, both past and future, so that you can always control your personal finances. Thus, you will avoid impulsive purchases that can lead you to debt and find out your balance in real time.

When and how do you use financial planning?

Let’s stop our attention on two most important issues: when and how you can use financial planning.

  • When to use: The frequency of analysis and use of personal financial planning will vary from person to person, and there is no right or wrong. Ideally, register your expenses and receipts daily in a spreadsheet and weekly analyze your current expenses, future expenses (card payments, etc.) and when you receive your salary and possible income. So you do not run the risk of reaching the end of the month without money in a pocket and missed bills.If you do not have time for a weekly check, do it at least once a month to understand how your personal and family finances are going.
  • How: The exercise of creating and tracking your personal finances is to keep an accurate record of all the money that comes and goes out of your pocket. So, let’s see how to start planning yourself and how not to give up personal finances in the middle of the road.

Organize your personal accounts

The first step to your financial planning is the organization of your accounts, which include:

  • Salary
  • Payments for services provided
  • Stock income
  • Asset sale
  • Additional income if any

This will make your review much easier, especially when it comes to costs. Here we could have all sorts of bills:

  • Food expenses
  • Fare
  • Clothing
  • Housing costs
  • Healthcare costs
  • Leisure and entertainment expenses

In addition to this, you may still have asset costs (buying real estate, vehicles, or even stocks).

Pay bills when you have a discount, take interest-free loans

It is often difficult to resist the urge to pay many times and have a false sense of well-being. But sometimes you can lose control and, even worse, arouse interest. Especially when there is a good discount, it is hard to resist making purchases or paying bills. Before paying the bill, make sure the discount is real and not a catchy attraction of the advertising. Besides, make sure you really need to pay that particular bull.

In the same way, when there is no discount on cash payments, and installments are paid without interest. But using this strategy will not be useful if in the future you lose control over what is indicated on the invoice of the card. Therefore, use the technique sparingly.

When applying for a loan, try finding proposals with the lowest interest rates. It is even possible to find loans without interest. This is possible for the first time users at some big lending companies. When you take a loan, make sure to return the money in time. Otherwise, you not only get fines but also receive bad credit history for the future.

Live according to your financial situation

If you want to live a standard of living above what your income allows, your current problem is not the lack of financial planning. This is the problem of the current occupation. You need to set new goals in your career that are more than just controlling your finances.

To keep your personal financial planning healthy, live within your abilities. It is hard to see how the people around you are growing in the financial structure, and you are not, but this is not why you should accompany them at all. The secret of any planning (financial, strategic, marketing, in any case, any) is to accurately set goals and actions, to know that you have to say “no” sometimes.


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