By Roberto Figueroa
Everywhere we go we hear about the importance of managing our money, and as we venture further into the complexities and routine of adult life, we discover that it is an important discipline to learn and master. Here are three steps we can take to set us on the right track.
Goals help us focus our energy and effort. They give us an incentive to sacrifice certain things in order to achieve what we have set out to obtain. If we think about it, we are more likely to use those extra 50 dollars wisely if we are saving up or looking to invest it in something that will help us reach a goal. Goals could be anything from a new car, remodeling your home, paying off loans, to going on a vacation you normally wouldn’t be able to afford.
We begin doing this by first making a list of our goals and jot down where we would like to be or what we would like to acquire a month, a year, or five years from now. Then, let’s think about what the most important things on our list are and think about how to get there.
Now, let’s try to think about the ways we are using our money. Are we being wise? Are there ways we can cut back some of our expenses? Something as simple as eating at home more often instead of eating out can make a significant difference.
Though it can be tiring to hear about budgeting, it’s an effective way to insure we have enough money to pay the bills. But too many of us stop there. Once the bills are paid and we have dealt with our obligations, we stop managing our money and spend (or sometimes waste) the rest. Now, everyone has the right to enjoy what he or she earns, but creating a budget for the left-over money, and placing a limit on how much to spend, is a good way to make sure we are not overspending. It also keeps us from living from paycheck to paycheck, a lifestyle that can generate unwanted stress and insecurity.
Roberto Figueroa is Graduate of Full Sail College
Master of Fine Arts in Creative Writing