How Do I Handle My Money? – Part 1

I am half-writing this to remind myself about the importance of proper finance management ( ability to handle money) and half writing this to suggest a way of handling money to all my readers.

There are many questions shrouding the mystery of handling one’s cash and one’s ever elusive conquest to master his money.

Before I go on to the actual strategy of handling cash, perhaps a fitting question to ask is

 

“Why Should I Learn How To Handle My Money?”

I am going to list out some benefits here

1. You will never be in a situation where you need to borrow – to survive
2. You will have the money to buy the stuff you want – besides your needs
3. You will be able to provide for your family with point 1. and point 2.

These are just some immediate benefits you’ll see , there are other long term factors as well.

So alot of people at this point of time will say

“I Already Don’t Have Enough Money To Spend , How Can I Save?!”

Bingo! It’s precisely because you don’t have enough to spend, that’s why you must save!

When I first started having my own money, I also fell into the trap of never having enough to spend! And when I needed something (think ipod , computers) , I found that I have no money to pay for it ! How disappointing!

However, now I often have enough to spend and often can “splurge” money on some “luxury” items ^^

Let’s examine this together, let me use a metaphor here, let’s say the roof has holes and when it rains the roof leaks. What do you do ? Repair the roof or wait for it to rain then start sweeping?

I think the answer is obvious – repair your roof. In the same way, the cause of having not enough to spend is improper money management. Hence , if you want to have money to spend you need to start managing your money well – by saving first.

“Ok So I Start Saving For The Things I Want To Buy?”

Yes and No.

Yes , because it’s the the better way to buy the stuff you want

No , because if you spend all your savings on the stuff you want, then you’re back to zero again – and this does not solve the long term problem of money.

There is a way to manage your money such that you’ll be able to both save for the things you want and solve the issue of money in long term.

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I’ll leave you to ponder about what I’ve just written =)

Keep checking back at this blog to find out how you can manage your money in such a way that it can solve money issues in the long term!