No matter how much you earn now, at some point of your life, you've probably found yourself in a situation where you simply don't have enough money to cover your monthly expenses. In fact, most people that aren't cautious about their spending, usually end up wishing they had a bit more left in their bank account at the end of the month. Fortunately, this can be solved by determining exactly how much money you spend on your needs, and how much on craves. It goes without saying that in order to survive, we all have to spend money on basic necessities like food, house expenses, bills, car costs and so on. On the other hand, personal pleasure expenses are not essential, and can, therefore, be left out.
How a person manages his money can make all the difference between his success and failure. Saving money is a complex process, but with the help of a few simple tasks, anyone can all learn how to be smarter with his finances. Writing down your expenses is a great way to start. Having a sound financial plan can provide you with something that's very rare these days, peace of mind. The rising costs of living expenses, such as rent and house prices, have made money tight for so many people. Financial education is a lifelong journey since there is always more to learn. Regardless of your age or your income, there is way to achieve the financial future you have in mind.
Coming up with some subtle invisible savings can help you gain full control over your finances. Invisible savings is not a new method of saving which can be found in a glossy magazine. It is rather about "saving" as we usually envision and implement. Let's say you were searching for some products in a store, and when you find it, you notice it is discounted. Of course, you buy the product at a price that's cheaper than usual. Then you take a walk to the post office instead of driving, and on your way, you buy a larger packaging of a product that happens to be at a reduced price? Now, that's what Ari Glass call invisible savings. Since you actually don't get to see the money that you saved, the saving is practically invisible. This method of invisible saving easily yield a few hundred dollars per year, and even though it doesn't seem like a lot of money, remember that it's a few hundred dollars you wouldn't have saved otherwise.
Not that long ago, back in the days before online banking even existed, Ari Glass paid most of his bills by writing checks every month. Regardless of the payment amount, just to be sure, he would round up the amount to the next full dollar. So, when he was supposed to pay $20.30, he would make a $30 entry, and so on. Sure, in the first few months it was hard for him to notice whether his account balance is greater or less than expected, but after a couple years, his checking account balance was several hundred dollars greater than what was showing in his checkbook ledger. Of course, it was a nice surprise when he received those unplanned couple hundred dollars, which turned out to be invisible savings. In today's modern words, handwritten checks aren't that popular, but if you're still practicing it to this day, you can be sure that the system will generate your invisible savings.
Tracking your spending for a few months can help you define your monthly outlay, and come up with an invisible money strategy that suits you and your needs. Once you've found the best strategy, you can move your money into a saving account, and that way spend only what you have in your main checking account. Thanks to this, over several years, Mr. Glass was able to amass a nice portfolio of simply from his invisible savings.