How to Balance Lifestyle and Money?

Have you ever felt like your salary is not enough? Having a lot of overdue bills and a low amount left for savings? If this continues, it implies that your way of living is out of balance with your money. This is a phase which almost every working person faces.

It’s time you start calculatingyour expenses and keep a track of where you spent and when you spent. Then compare the total expenditure with your savings. If your expenditure is more than what it was last month, then you have spent extra money on some useless expense. This causes your savings to be lower. If you’re facing this situation every month, a time may come where you have to face a financial crisis.

Some possible reasons for this imbalance:

• You are not fully aware of your expenses: Sometimes you buy some unnecessary items which cost a considerable amount of money. If the items you bought are not so significant, you seem to forget them. This causes you to forget where you spent.
• More than 20% of salary spent on shopping: If you’re spending a little amount of money on necessary shopping, it sounds sensible. But if you’re spending 20% or more of your salary for the same, it sounds stupid. You can’t drain out your money on some momentarily pleasing stuff.
• Eating outside food more than 10 times a month: Eating in a restaurant or a café once, is good for a change of taste. But doing this more than ten times a month can cost you a significant amount of money.
• Not having health insurance: If you’re not having a health insurance, you may end up spending a lot of money on medical check –ups, treatments and surgeries.
• Costly means of transportation: If you’re using a vehicle very often, the petrol costs you a considerable amount for the whole month. In case you don’t have a vehicle, using auto-rickshaws or taxis can cost you extra money.

As a solution to all these monetary issues you should think at least twice before you set out for shopping. Purchase only those things which you need the most. You can cut the cost on transportation by travelling in bus or train. Avoid excessive water and electricity usage.

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