Practical tips to keep you out of debt
Today, we’re going to talk about managing your
money. But first, let’s get some basic definitions
out of the way. Money is used to measure value
and is given in exchange for goods and services.
Money can be in the form of coins or notes.
Gold, real estate, stocks & shares, a deposit in a
current account and other commodities of value
are also regarded as money. Your money is an
important aspect of your life. The amount of money
you have can determine what you do, where you,
and how you live on a daily basis.
Learning how to manage your money is an
important step towards taking control of your life.
In order to manage your money properly, you must
first understand where your money comes from
and where it goes. As this will ensure that the way
you manage your money falls in line with the
things that matter most to you.
Here are few ways to manage your money rightly.
You need to understand your income : Know
what you earn from your job or business. You
cannot manage your financial resources properly
unless you have a clear idea of what those
resources are in the first place.
Set up a realistic budget, and most importantly,
stick to it : Ensure you do not spend more than
what you earn and what is in the accounts -
Current and Savings.
Actively manage your bank accounts: Some
people do not pay attention to what goes on with
their bank accounts. Keep records of all additions
to your money in the bank and money that you
have withdrawn either by going to the bank,
through POS transactions, or through ATM
withdrawals. At the end of the month, make sure
that the account balance which you expect to have
based on your calculations tallies with the balance
which your bank says that you have.
Where you
are not able to explain a difference in the numbers,
contact your bank for clarification.
Save, save, save: You should have a savings
account. Once you have received your salary or
any payment due you from your business, make
sure that you transfer part of that money to your
savings account. You will be amazed at how your
savings account will grow every month.
Again, managing your money can help you to be
more in control of your life. It can help you to be
less anxious about your financial situation. Take on
this responsibility start today!
This has been courtesy First Bank as part of The
Bankers Committee Financial Literacy Public
Enlightenment Programme brought to you by The
Bankers Committee, comprising all the commercial
Banks in Nigeria and the Central Bank of Nigeria,
CBN.
money. But first, let’s get some basic definitions
out of the way. Money is used to measure value
and is given in exchange for goods and services.
Money can be in the form of coins or notes.
Gold, real estate, stocks & shares, a deposit in a
current account and other commodities of value
are also regarded as money. Your money is an
important aspect of your life. The amount of money
you have can determine what you do, where you,
and how you live on a daily basis.
Learning how to manage your money is an
important step towards taking control of your life.
In order to manage your money properly, you must
first understand where your money comes from
and where it goes. As this will ensure that the way
you manage your money falls in line with the
things that matter most to you.
Here are few ways to manage your money rightly.
You need to understand your income : Know
what you earn from your job or business. You
cannot manage your financial resources properly
unless you have a clear idea of what those
resources are in the first place.
Set up a realistic budget, and most importantly,
stick to it : Ensure you do not spend more than
what you earn and what is in the accounts -
Current and Savings.
Actively manage your bank accounts: Some
people do not pay attention to what goes on with
their bank accounts. Keep records of all additions
to your money in the bank and money that you
have withdrawn either by going to the bank,
through POS transactions, or through ATM
withdrawals. At the end of the month, make sure
that the account balance which you expect to have
based on your calculations tallies with the balance
which your bank says that you have.
Where you
are not able to explain a difference in the numbers,
contact your bank for clarification.
Save, save, save: You should have a savings
account. Once you have received your salary or
any payment due you from your business, make
sure that you transfer part of that money to your
savings account. You will be amazed at how your
savings account will grow every month.
Again, managing your money can help you to be
more in control of your life. It can help you to be
less anxious about your financial situation. Take on
this responsibility start today!
This has been courtesy First Bank as part of The
Bankers Committee Financial Literacy Public
Enlightenment Programme brought to you by The
Bankers Committee, comprising all the commercial
Banks in Nigeria and the Central Bank of Nigeria,
CBN.
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