By foxypar4 www.flickr.com/photos/foxypar4/1703347495/

Live Within Our Means

It is important for us to have a life style according to our income. In the early days I tried to pay off the mortgage on my home, and car loan as soon as possible. I paid my bills fully every month, and invested a certain amount of money for retirement.

Unemployment, sickness or other unfortunate events could put us in debt. It is challenging enough to go through life’s uncertainties without having to worry about money. I had my rainy day. Had I not been saving, I would have been in bad shape then.

Having said that, some are struggling to make ends meet currently, never mind saving for the future. The key is to have a habit of saving. Put a dollar or ten cents in a jar; always make an effort to do so and continue from there.

Credit Card

I pay off the balance on my credit card every month. I already have a credit card (it is accepted by most organizations) so I say “No” to all kinds of incentives coming with another credit card offered by the credit card companies or stores. The incentives could lure us into spending the money we do not have. It is in the interest of credit card companies and retailers to make more money. But do we benefit from overspending?

Save For Big Expense

After we have paid off mortgages, to avoid future loans we can put aside money for the anticipated big expense. The trick is to plan ahead and take action early. Instead of paying thousands of dollars to loan interest, we can earn interest on the savings in the meantime.

Watch Out for Marketing Campaigns and Spend Wisely

Advertisements and packaging are skillfully designed to promote products and make them appealing to targeted customers. A good example of this is the commercials that bombard us when we turn on the TV. Spend wisely and guard our money by learning how and when to say “No” to aggressive marketing tools.