Six Ways to Eliminate Spending Leaks from the Monthly Budget
Making Rules for Spending Money
Defining rules for expenses can become a useful way of budget planning. The 50/30/20 rule restricts over spending and makes you stick to your budget plan. This rule is defined as, assigning 50% of the income for monthly necessities like grocery bill, credit card bill, etc. The other 20% is for clearing debts and saving money for future goals. Remaining 30%, one can be used for entertainment purpose. Always go for shopping with a proper list as it helps in restricting from unnecessary shopping. These rules will lead for the smooth cash flow and helps in elective spending.
Never Miss Payment Deadlines
There are many payments needed to be paid in a given deadline otherwise it may result in harsh penalties. It is essential to deposit required premium to insurance companies, timely payment of credit card bills, mutual funds companies, etc. Advance Payment is also a better option because it leads to remain free from possibility of missing payment.
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