Being able to pay bills, pay off debt, take care of your family, and save for the future are all things which money provides. Social stratification is even dictated by how much money a person has. The mighty dollar literally creates the ideal of the haves and have nots structuring our society on an income-oriented model.
No matter the economic levels though, people need to find the best ways to deal with money. For example, many individuals across the US currently find themselves in debt. Whether it be student loans, mortgages, credit card payments, or even car loans, money is constantly needed to pay off such debt. The total consumer debt totaled $4.144 trillion in the 3rd quarter of 2019. This was a 4.7% increase from the 3rd quarter of the previous year. Such debt doesn’t even factor in commercial debt, as handled by firms like Global Legal Law Firm.
Breaking down individual debt even further, in 2019, Experian conducted a Consumer Debt Study that showed the total consumer debt of the United States stood at $14.1 trillion. It was also discovered that Americans carried an average personal debt of $90,460. Having to live your life with constant drainage of funds can be mentally stressful, and time-consuming. No one wants to live a life where they are constantly experiencing financial woes. Continue reading for some essential tips on what the best ways are to get your money right.
- Get an education in money.
Firstly, you’ll want to learn as much as you can about money. You can begin this education by informing yourself about your personal finances. As you learn more about your finances, your confidence in better money management builds.
You can start this money education by scheduling weekly money dates with yourself. This can include spending a few hours managing your personal income, in addition to reading financial books, blogs, and magazines. Consulting a financial planner can also go a long way with teaching you the ways of proper money management.
- Check your credit score regularly.
A credit score determines a lot of what happens in a person’s life. Will you be able to get a car loan? Can your credit score prevent you from getting a job? Is there a chance that you won’t be able to get a credit card based on your credit score?
Keeping track of the ups and downs of your credit score can help with getting your money correct. Your credit score/ report acts as a file on you and your credit history. The hope is to keep your credit score in good shape so that you qualify for solid interest rates. The higher your credit score, the better handle on the money you’ll have.
- Look into investing.
Investing your capital into a business is a great way to build up your money. Placing finances into a business that is doing particularly well is a solid way of building capital over time. These types of investment opportunities can be done through firms or financial planners. For example, the online alternative investing firm, Yieldstreet complaints help with joining accredited investors to asset-based alternatives. This is the goal of the company’s founder and CEO, Milind Mehere, who helps investors find financial independence without being overexposed to the stock market. Working with investment entities like Yieldstreet can help with improving your finances.
- Create a cash cushion.
Having a nest egg for money is another good idea for keeping your money solid. It’s best to prepare for the possibility that financial life might go wrong. In the case of emergencies, extra bills, or any other surprise events, having this money on hand can be a lifesaver. In the chance that events like these don’t pop up, its good to have an extra source of money that can either be placed in savings or invested elsewhere.
- Get a side hustle/ second job.
Sometimes working a 9-5 job may not give you that extra financial cushion that you want. Getting a second job in such cases can be helpful. A second job can help you to build a cash cushion as mentioned before. Whether you’re saving up for something specific, or just wanting to have a little extra money on the side, a second job might be something to consider.