Do It Yourself (be proactive)

Proactive Financial Management

You hold to power to unlock money when you need it. It’s all about being proactive – setting yourself up to handle all of life’s financial challenges when they come your way.

The easiest way to do that is to start saving. While most people work on the basis of saving whatever is left after paying for living expenses with their regular pay, a slight change of thinking could quickly ensure you’re saving much more money.

The best way to do this is to ‘pay yourself first’. When you get your pay, put away a consistent amount each time before you pay any expenses. Make sure the amount doesn’t blow your budget, but is significant enough to create some kind of safety net for you down the track. This ensures you’ll be saving plenty in no time.

Another tip is to cut up your credit cards. Even though they may help you for unforseen expenses, the repayments on these are generally going to keep you in debt for the long term.

Moving your funds from a standard bank to a bank account with high interest is another great way to get more from your money. Highest interest means your money works harder for you, and will motivate you to save more. Another positive with these accounts is they generally take one business day for you to make a withdrawal, meaning impulse purchases are less likely to happen.

Finally, set yourself a budget, including a little for entertainment. By writing a budget down on paper, you can see where you’re spending the most, and where you can save by shopping around for a better deal.

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