It is common for you to wonder where your money has gone at the end of each month. You’re not alone if that’s the case. Millions of people are constantly struggling with their bottom line daily.
Keeping track of your finances can feel like performing recurring magic tricks. The first thing that comes to mind regarding budgeting is savings and investment accounts. Even though there are many ways to keep your money in your account, some methods are much more accessible than others.
Listed below are the 6 Most Innovative Ways to Hack Your Finances
Apply for a Credit Builder Card
Using a credit card can be a nice safety net for your finances. Spending too much on expenses such as travel, parties, excessive shopping, or even a subscription plan for your favourite online games like www.gambling999.net can create a financial liability. Credit builder cards are perfect if you think taking out plastic for purchases sounds too simple and convenient. A credit card like this is a great option for anyone looking to build credit.
Make use of the rating system
To determine what purchases are worth repeating or not, you can do the same thing with the purchases that you have made so far. Be sure to keep track of your spending. Each purchase should be rated on a scale of 1-3 at the end of each week or month. If you are not happy with expenditure, give it a rating of 1; if you are indifferent, give it a rating of 2. It would be best if you focused on those highly-rated purchases as much as possible.
Online Grocery Shopping
It can be super convenient if you need help getting to the store. When you’re in the store, adding new items to your cart is too easy. Your purchases add up more often than you remember. Grocery shopping online eliminates unnecessary temptations. Before you check out, you’ll know your total. In this way, you can put things back if you need to.
Make use of top-down debt reduction
You are tempted to pay off the smallest items when you owe a lot. Managing a smaller amount may feel easier, but you will not achieve long-term success. Consider trying the debt avalanche method as an alternative. Pay off your most high-interest-rate accounts first, followed by those with the lowest interest rates. For a long period, you will end up paying less interest.
Limit the use of your credit cards
It may seem attractive to have a lot of credit cards to your name, but that is only sometimes the case. Getting a new credit card offer is relatively easy. You receive new credit card offers in the mail regularly. No doubt, having access to credit helps you build a good credit score by being able to borrow money. There is no doubt that having too many credit cards is enticing and can lead to financial pitfalls in the future.
Invest in money jars
Using money jars dedicated to saving for a certain purpose can be very effective. You should label it and add money to it regularly. You can even challenge yourself to save every penny that comes into your hand. It is always motivating to watch your money grow, regardless of how you do it. It’s also easier to stick to your savings goals if you see that you are progressing. Money management can be a challenge, but it isn’t impossible.
