The first step to start saving money is figuring out how much you spend. Keep track of all your expenses—that means every coffee, household item and cash tip as well as regular monthly bills. Record your expenses however is easiest for you. (E.g) A pencil and paper, a simple spreadsheet or a free online spending tracker or app. Once you have your data, organize the numbers by categories, such as gas, groceries and mortgage, and total each amount. Use your credit card and bank statements to make sure you’ve included everything.
Now that you know what you spend in a month, you can begin to create a budget. Your budget should show what your expenses are relative to your income, so that you can plan your spending and limit overspending. Be sure to factor in expenses that occur regularly but not every month, such as car maintenance. Include a savings category in your budget and aim to save an amount that initially feels comfortable to you. Plan on eventually increasing your savings by up to 15 to 20 percent of your income.
One of the most important thing to do is finding way to cut spending and set saving goals also.
I dont really have much to say on this ,but i want to give an experience on my spending at times... I have spent in a way that i keep believing that i have nothing to loose, why is that?... First, most of my spending goes on reaching out to help people a lot. It gives me a lot joy and happiness to the fullest because its what i love doing the most and i could say i find most of my strength in doing it...
I do love saving also in order to cut spending short, because it saves me in the time when people needs my help and when i needed to be there for my family the most... I mean everyone has their ways of spending but we just need to try and minimize our ways of spending financially.
Other things we should do is prioritizing our saving goals. We need to save for the future. Though i have a rough background but that doesn't mean when i have money i can't save. So, make saving your Automatic priority. Thats one of advice to anyone out there reading this. Thank you for reading this article and my full name remains Yusuf Faruq Oluwaseun .
