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11 Tips to Create a Brighter Financial Future

Regardless of the type of work you do, it’s possible to take action now to start creating a brighter financial future for you and your family.

When you start now, then things like a raise or better-paying job will become the icing on the tasty cake you’ve already made, and add to your pleasure, rather than having to bail you out of a financial jam.

Try these strategies to ensure your financial future outlook is bright.

Save at least 15% of your paycheck.

 This amount will give you something to fall back on when times are especially lean or funds to invest so your money can be working for you.

For example, if you clear $500 a week, ensure you put back at least $75 dollars for your future. 

This money can be used as your monthly savings, or to invest in another business.

You might think that this is tough at first, but believe me, once you get the hang of it and learn how to manage your money, it will become a piece of cake for you.

Find a stockbroker you trust.

 As you save your dollars, it’s wise to have an overall investment plan to earn the most interest over the long haul.

However, look at the facts and listen to your gut when it comes to making the final decision on making a particular investment.

Diving in the trading world is profitable but very risky at the same time. Make sure you hire a wise stockbroker, one that you can trust with your savings.

Have just one major credit card and use it sparingly.

Charging a small amount on it each month and paying that amount back before the end of the month builds your credit and keeps you out of debt at the same time.

If you manage your money in a good manner, you might not need to use much of the credit.

Try to keep it a 30/70 ratio on your credit card, using 30% of it in one month and keeping the 70% for when you really need it.

  • Keep the major part of your credit allowance open for emergencies.

Vow to never pay finance charges again.

Of course, you’ll likely be paying a mortgage and perhaps a car loan that include finance charges you may be unable to avoid.

However, outside of those two payments, paying finance charges is like setting fire to your dollar bills. Take steps to ensure you pay as few finance fees as possible.

To do this, you need to simplify your finances. We know that finances are complicated, which is why we provide you with 7 ways to simplify your finances in this post.

Pay all your bills on time for a brighter financial future.

There are a few good reasons to do so to help you get a brighter financial future:

  • Build a positive credit record, which is very important if you want to apply for any loan in the future.
  • Keep money in your pocket instead of wasting it on late fees. Why pay late fees when you can save them for any future investment.
  • Build confidence that you can manage your money responsibly. The better you manage your money, the more you are investing in a brighter financial future.

Find a competent tax preparer and accept his financial future advices.

I know you think you can manage all your finances alone, but having help from professionals can help a lot.

A great tax accountant will tell you how you can pay fewer taxes and how to rack up some helpful deductions.

He may even offer helpful guidance about how much money to put into your Individual Retirement Account (IRA).

Set limits with your kids about money.

If you have kids then this one is for you.

Do not cut the money you are providing your kids, NO!! Help them while they are young how to better manage their money. Help them take responsibility for finances.

Teach them from the time they’re young that they must earn their own money and save at least 25% of it. They’ll gain an understanding of money management that will serve them well for the rest of their lives.

Apply $500 to $1,000 yearly extra toward your mortgage principal.

This depends on the financial plan you are following. This does not have to come from your savings, but rather from the saves you do on your expenditure money.

Let’s say your plan is to spend 1000$ a month, and you spent 800$ instead, use these 200$ to pay extra toward your mortgage.

Paying an additional mortgage payment each year will save you thousands in interest.

Plus, you’ll pay your home off years earlier, freeing up your funds for whatever you want.

Keep your resume up to date.

Always keep your resume up to date. You never know when you’ll want to apply for a promotion, change careers, or develop side projects for extra streams of income.

Consistently accept part-time, short-term, or temporary second jobs: Secure Your Financial Future.

We already spoke about extra streams of income in another post, but to boost your income stream, it is best to have a second job or a side hustle. 

Bringing in extra money occasionally in addition to your full-time work pads your bottom line.

Hone your computer skills for a better financial future.

Don’t become a computer geek, no, just learn simple computer tasks.

Those who know their way around a computer are more likely to be successful at work. Broaden your horizons even further by learning about new software in your industry.

There are dozens of side hustles you can do online. From freelancing to starting a blog, or even selling something online, all are well side hustles to do next to your job and require some computer skills.

Conclustion

Put the above strategies to work to strengthen your money situation. Care for your finances and nurture your financial situation today and every day. When you do, you’ll live the incredible life you’ve always wanted!

Written by Abdallah Taleb

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