The Swedish pop group, Abba recorded the track – Money, money, money in the 70’s which was sung from the viewpoint of a woman who, despite hard work, can barely keep her finances in surplus, and therefore desires a well-off man. Money seems to be a master of its own, desiring no one to boss it around. Therefore we find ourselves undergoing finance management sessions, investment sessions and sometimes it seems like we still do not get it right.

If was a little child, I ‘d bet money had wings and flew away whenever it felt like it. Surprisingly we still find people who even have multiple streams of income but still struggle with this. It will not be wise to accept  defeat in the face of getting your savings game right.

Here are a few tips to help you gain better money habits;

Have your expenditure on pen and paper

If you bank online, you may be able to filter your statements to easily break down your spending. Have a record of what expenditure you make. Keep track of all your expenses—that means every coffee, newspaper and snack you buy. This will help you figure out your spending rate. Once you have your data, organize the numbers by categories and have a sum total of the e expenditure. Going cashless and using a debit card will be a lot more helpful.

Draft out a budget 

Write out a budget of your expenses. Plan your spending and ensure not to go above your income to avoid getting involved in a financial wild goose chase.

Saving should be a top financial goal 

Make up your mind to set aside at least 20% of your income. However if your expenses are so high that you can’t save that much, it might be time to cut back. To do so, identify non-essentials that you can spend less on, such as entertainment and dining out. A good way to reinforce savings is by considering it to be a regular expense.

Grab the right accounts 

Depending on what you are looking forward to achieving. You might want to choose either a stock or mutual fund or even a fixed deposit account for long-term goals but if your goals fall in the short-term goals cadre, you might need to opt for a savings account.

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