For a record, a huge portion of Australians often finds themselves drowning in too much debt as a result of mismanagement of money. They tend of spend a lot in credit cards and force themselves into extravagant lifestyle that put strain to their pockets. The best solution to this is to strictly adopt ways to manage money effectively.
If you fail to manage your money and as a result find yourself with jaw-dropping debts, you can contact Crown Money management as the pioneer behind managing money for Australians. The company is gearing many consumers towards financial stability for over 13 years now. Alternatively, you can strive to manage your money on your own by following the 5 complete ways discussed hereunder:
Change spending habits
If you are accustomed to reckless spending, you have to start NOW to curb spending. Even small changes can help you significantly to manage your money efficiently. Consider the following changes:
- Use cash instead of the credit cards for minor purchases. With cash, you will be able to shop strictly and leave out the needless items.
- Take the lunchbox to your work instead of always spending money on fast foods. Purchase enough healthy food to cook at home.
- Reduce alcohol consumption. Instead, drink the cheaper healthy
- Invite your friends for dinner instead of having late nights in fast food restaurants
- Exercise by running or walking daily instead of subscribing to a gym membership
- Take a public transport to work instead of spending a lot on petrol for your car
- Visit libraries to read your favorite books or search them online instead of purchasing them
Do not stay abreast with fashion
Fashion trends can drain you lots of cash. Every season there are new clothes on the market. If you keep up with such trends, you might end up spending in excess and drowning in debts eventually. Only buy what you need. Moreover, consider hand washing your clothes instead of taking them to the laundry. Even considering second hand clothes can be a solution to curb spending.
Opt for affordable bank fees
Depending on banking features that cost more compromises your financial stability. You can reduce the bank fees by opting for the affordable bank fees. You can actually find the banking institutions that do not bind you to account maintenance fees, overdrawn fees and minimum deposits. Visit the Australian Bankers’ Association Inc. to find more information regarding such financial institutions.
Save in collaboration with a friend
Saving needs discipline, and you might struggle to keep up with that. If there is a friend with the same thoughts of saving, the two of you can save tremendously. You can have a joined account or save separately by competing that who saves more than the other. This way, you will be able to encourage each other and share some important tips.
Save more on electricity
Electricity consumption can also cost you more money because of everyday appliances we use. If appliances such as the geyser, the TV and the washing machine are not in use, switch them off. With the washing machine or dryer, you can consider hand washing your clothes. And instead of subscribing to contracts to buy electricity, you can opt for a prepaid to help you limit reckless energy consumption.
For more information on money management and savings, you may visit Crown Money Management and Australian Securities and Investment Commission. Crown Money Management will be active in helping you to manage your money and your debts.
There is more you can achieve to save more money. Consider using the Excel spreadsheet or applications to help curb spending and budget. Many people find it hard to live by the budget. Unfortunately, there is no better way around that except to discipline yourself. You can even open savings accounts and ask the banking institution to save money automatically from your monthly salary.
Lastly, avoid the needless personal loans. Rather take time to save for your major spending. Things like the home and the car may be compelling to have loans for them. Strive to save more deposits so that you can reduce the monthly premiums on car or home loans.