Tips for Managing Monthly Salary

Those who are rich are not those who have a large income or can buy luxury goods.

If you can't manage your finances well, no matter how much money you have, it will run out quickly.

For this reason, financial knowledge must be possessed by everyone. In order to help manage finances better, not even a few have more than one account so they choose savings without admin fees.

There may be some of you who are still confused about how to manage finances well.

For more details, here are tips on managing a monthly account.

1. Create a Monthly Budget

It's very easy to spend money. However, if these expenses are not controlled, the monthly income will certainly run out. In order not to experience problems like this, you can make a monthly budget.

This monthly budget should be made at the beginning of the month or before you start spending the income you earn. Keep track of routine expenses. From every expense that has been recorded, start to make a priority scale.

When making a monthly budget, routine expenses such as electricity bills, credit bills and living expenses for one month should be prioritized. Don't forget to always budget for an emergency fund in anticipation of unexpected things happening.

2. Set aside some income for savings

Saving is mandatory. You should always instill and apply a mindset like this. However, don't save from residual income. On the contrary, set aside some of your income for savings at the beginning of the month.

Saving at the beginning of the month has many advantages. Apart from guaranteeing that you can save money every month, this method also helps you manage your expenses to be more selective.

3. Use a Credit Card Wisely

Nowadays buying goods is getting easier. Even with a small amount of capital, you can get expensive items on credit. However, not being wise in using a credit card can be unhealthy for your finances.

Therefore, you should try to use a credit card when shopping with a large nominal or when pressed. In addition, choose a credit provider that has low interest and has a mitigating policy.

4. Create Daily Financial Reports

Every expense must be recorded. Do this every day. Daily financial reports can be your spending control tool. In addition, you can use this report to analyze expenses that are not so important and avoid them in the future.

5. Set aside Income for Investment

Retirement must be prepared early. However, saving alone is not enough. You also have to prepare for old age by investing. This investment will later give you passive income to meet your needs when you are no longer able to work.

Since he was young, set aside some income to invest. You can start from investment instruments that you know first. If you are new to the investment world, you should choose a low-risk instrument.

6. Create Two Bank Accounts

Having two or more than one bank account can help you manage your finances more easily. For example, one account for savings and another account for receiving salaries and meeting monthly needs.

But if you want to open more than one bank account, you should look for a bank with low admin fees or even no admin fees at all.

For those of you who want to open a new account, look for savings service without admin fees. The initial deposit is also quite affordable.

By opening two bank account, you can focus on account more on saving and investing without being eroded by monthly admin fees.