Don't Spend More Than You Make

This society is one piled high with debt.  You hear the horror stories all the time.  There is probably a person in debt living in your neighborhood or sitting next to you at the ballgames.  People are getting into financial trouble for one simple reason  they are spending more money than they earn.  Here are some useful tips for how to live within your means.

A budget is essential.  Quite simply, in order to for things to work smoothly you need to make more money that you spend. If things get out of balance and you're spending more than you make, your options are either to make more or spend less.  If you try to continue living without balancing your budget, you will suffer economic ruin.  To begin preparing your budget, you need to find out exactly what your income is, how much you save in your bank account, and how much you are spending.

Set your priorities.  If you have to have two cars then choose a smaller house.  If you have to have a large house then you could choose one in the country (where prices are lower).  If you have to have cable then subscribe to the smallest package possible.

If you feel the need to remodel your home, do your homework before deciding which company to use or whether or not to do it yourself.  Find a company that does good quality work at a reasonable price.

If you're already in debt, take charge and do everything in your power to pay it off.  Work at eliminating one debt at a time while being careful not to incur new ones.  You will no doubt be shocked once all of your debts are payed off and you realize how much extra cash you can use for other purposes.

Find ways to make more money doing things that you enjoy (sewing, writing, gardening or babysitting), or take a seasonal job to save for specific needs.  Taking a special job during the Christmas holidays, even for just a few weeks, could give you the money you need for your holiday spending.  You could also use any extra income to pay off your debts or to start an emergency savings fund. 

Regardless of how much you think about different ways to save money in your bank account, if you spend more money than you make, your financial situation will be a disaster.  You need to do something right away.  Come up with a good plan without delay and you will soon be on your way to financial security.

Putting together a budget, setting priorities, eliminating debt and bringing in more money are all steps to getting your finances in the right balance.