5 T I P S T O AV O I D P E R S O N A L F I N A N C E P I T FA L L S

C R E A T E D B Y S T E V E R I C E

• Managing personal finances is a skill that not all possess.

• Such a simple concept when ignored can damage more than your weekly spending allowance.

• Spending without proper precaution will affect your future, preventing you from achieving the goals you’ve worked so hard to earn.

• By following the simplest of steps, you can better protect yourself and your wallet from the allure of overspending.

• When shopping, purchase with your budget and not your eyes.

• It’s easy to see that new television or car as an acceptable loss, but those expenditures add up quickly.

• Everyone likes something new, but it’s not always the best choice when living under a budget.

• If you’re looking to purchase something in the near future, saving is always the best option.

• Set a goal and work toward it.

• With each milestone met, reaching your desired outcome will only feel sweeter.

• Building and maintaining an emergency fund is not only a good idea, it’s a necessity.

• Beyond covering yourself for the unexpected, a backup or emergency fund is “found money.”

• Car breaks down while you’re working toward putting a down payment on a house?

• Your well fed emergency fund will manage the hit while your plans continue, unhindered.

• However, your emergency fund is not for use on everyday purchases.

• If you can’t afford it without dipping into your backup funds, then reconsider purchasing the item at all.

• Learn all you can about your taxes, and more importantly your tax exemptions and refunds.

• Every dime you make passes through a minefield of percentiles levied by your state and federal government.

• Understanding where that money goes come tax season prevents you from leaving money on the table or losing more than necessary.

• If research doesn’t cut it, don’t be afraid to consult a professional.

• It’s their job to understand the tax world, and they may be able to find you exemptions that you’d have missed.

• Ultimately, creating this budget is to preserve your financial future.

• Part of ensuring your relative comfort is making sure you pay into your retirement fund.

• Maintaining a 401k is an absolute must.

• Over the years, it’s tempting to dip into the money you’ve accumulated, but think of it as a pennies in an unbreakable piggy bank.

• This money is more important than your emergency fund, because it’s meant to support you when you’ve retired.

• No one wants to work well into their 70’s, and maintaining a strong 401k will keep that from happening.

• Lastly, be sure to “pay yourself.”

• Saving with no concept of reward will eventually lead you to resent your efforts.

• Save money, spend responsibly but allow yourself some freedom.

• There is no sense in strangling yourself with a self-imposed budget.

• This is by no means permission to avoid the aforementioned financial planning, but it affords you some freedom without sacrificing the simple joys in life.