Saturday, August 15, 2009

Money Management

Money is a huge part of our life. It can determine what you can do and where you can go. Learning how to manage your money the right way is an important step toward taking control of your life. Understand where your money is coming from, where it going to, and how to make sure that the way you manage your money falls in line with the values that matter most to you.
There are three ways to help you manage money. First, make sure you know where your money is going - keep a note of all your incomings and spending. This will help you decide where you can cut back if you're living beyond your means. Second, the most important thing is avoiding unmanageable or crippling debts. That means high-interest debts such as credit cards, store cards, or loans that you don't really need. Before you want to save money, you should pay off those debts. Thirdly, once your debts are paid off, get yourself some money saved up for a rainy day. You really never know when you're going to have an emergency, or need that cash cushion.
In conclusion, manage your money will help you know what you want to do with money, where your money goes, and know how to save money for your goals.

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