Saturday 18 July 2015

8 easy ways to simplify your financial life-By AJ Smith



Money
Do you find yourself overwhelmed by your financial responsibilities? Do you sometimes ignore your accounts and budget because thinking about them adds stress or confusion? Understanding the steps for good financial decision-making and simplifying your role can help you take control of your finances. Check out the following tips to create an easier structure in your finances and watch how each small change adds up.
1. Pare Down Your Accounts
You probably don't really need more than one savings or checking account or to have accounts with many different financial institutions. One method to simplify your financial life is to consolidate your bank accounts to one checking account and one savings account to cut down on the paperwork and tracking.
2. Prioritize 
Picture your future and choose a few financial goals to focus on at a time, like boosting your 401(k) or growing an ample emergency fund. It's important to be specific about the goals you want to accomplish and plan the clear steps you need to take to reach them. Writing your goals down can help you stick to them.
3. Consolidate Insurance
Just as you probably don't need multiple bank accounts that serve the same purpose, you probably don't need multiple insurance accounts. You can save money and stress by bundling your assets that need insurance and consolidating your policies. You can compare the various companies to see who will help you save the most in this process.
4. Keep Track of Your Comprehensive Budget
When you are ready to get control of your financial life, it's important to make sure you are living within your means. It is important not just to create a realistic, comprehensive budget but to take the steps to stick to that budget. Once you start tracking where you money is going, you may be surprised by how much you are spending in each category and how your money can be put to better use.
5. Pool Your Plastic
If you have debt, you may want to consider transferring the balances on high-interest credit cards to a credit card with a lower rate. This will help cut down on your money management and save you some money on interest. It's important to inquire about balance-transfer fees and factor that into your decision. For example, the winner of this year's Best Balance Transfer Credit Card in America is the Chase Slate card, which has no balance transfer fee — a big draw if you need some breathing room from your debt.
To get a good balance transfer offer, you'll need a decent credit score. You can check your credit scores for free on Credit.com to see where you stand before you apply.
6. Go Paperless
You only need to keep important papers, so go through what you have and shred whatever you don't need. Then streamline your future financial records by going paperless. Most companies and banks offer this feature and this can cut down on your clutter and filing. Call to set up paperless statements or bills and keep folders on your computer to help you track where your money is coming and going.
7. Automate Good Habits 
If you can't trust yourself to follow through on positive financial behaviors, consider not giving yourself the option. Set up direct deposits and contributions so you can watch your financial goals come into grasp without having to be proactive about it. If you never see the money sitting in your account, you can't spend it.
8. Inventory Your Stuff
Take stock of everything you own, from clothes to furniture. You will find that you probably have more than you need and even things you have forgotten about. You can sell or donate what you don't need and watch your financial clutter decrease with your life clutter.
The easier your financial management is, the more likely you are to stay on top of it and be in better fiscal health. Use the tips above and search for your own shortcuts to make this strategy a reality and watch your assets grow.
Note: It's important to remember that interest rates, fees and terms for creditcards, loans and other financial products frequently change. As a result, rates, fees and terms for credit cards, loans and other financial products cited in these articles may have changed since the date of publication. Please be sure to verify current rates, fees and terms with creditcard issuers, banks or other financial institutions directly.
Culled from Credit.com

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