3 Rules to live by.
Ok, so most of us don’t like rules, however, if you follow these 3 rules, you can get and keep you financial life under control.
Spend less than you earn.
It seems like an easy rule to follow but 71% of U.S. workers are in debt according to CareerBuilder. Make a budget and stick to it. Having positive cash flow gives you control of your financial life.
Wait 24 hours for that big purchase.
You’ve had your eyes and an expensive piece of jewelry, or a new car, or even a vacation. Do your homework, find your item and price, then sit on the decision for 24 hours. If you still feel that the expenditure is worthwhile and you have the cash, make your purchase.
Save for a rainy day.
I cannot say it enough or more clearly – YOU NEED AN EMERGENCY FUND. When establishing your emergency fund, look at replacing income vs. covering expenses. You will have to stash a bit more this way, but you will be better off in the long run.
I hope you agree that these rules are essential and not that hard to deal with.