Master Your Money

            You might be thinking, What exactly do you mean by 'master your money?' Simple! It means the realization that you are in control of every aspects of your finances. Well, here are some of the ways to master your money.

 1. Start making a budget

        The first step in creating a budget is to find out how much money you make each month. For making a budget, I suggest 50/20/30 rule popularized by Senator Elizabeth Warren in her book All Your Worth: The Ultimate Lifetime Money Plan.

• 50% - Needs

            Needs are those bills that you must pay and the things are needed for your survival. (Rent/ Mortgage, Groceries, Insurance etc.,)

• 30% - Wants

            Wants are all the things for which you spend money that are not absolutely essential. (Dine out, Movies, Shopping etc.,)

• 20% - Savings

            Try allocating 20% of your net income for savings and investments. This also includes emergency funds and debt repayment.

        A budget works only if you are honest about both your income and expenses.

2. Resist Temptation

• Take cash instead of cards.
• Always stick to the list. 
• Practice 1:1 - For every item you get unplanned, you must give up another item.
• Unsubscribe marketing emails.
• Shop Online - It helps you track expenses easily.

3. Make a deal on your debt

• Make a list of everything you owe.
• Set a time frame within which you should repay your debt.
• Promise yourself for no new debts until repaying the old.
• Avoid making excuses.

4. Choose where to save

• Seek financial experts' advice before saving or investing your money.
• Decide where to put your money. It should be easy to reach but difficult enough for you to touch it. 

5. Make rules

• Spend less than you make.
• Be aware of where your money goes.
• Pay bills on time.        

        I hope this information helps. We can't do all the above at once, but we can try making changes in the way we spend. Good Luck!