Bad financial habits to get rid of
Money management is also called investment management as it is a process of tracking expenditures, investments, budget and an assessment of money taxes, it is the strategic technique that is used in order to earn money with the aim of achieving a higher benefit for the amount that is spent, and from here appeared many money management techniques that work to reduce the amounts that are It is spent on items that have little value, and it also works to clarify several bad financial habits that must be eliminated in order to preserve long-term assets, by choosing the financial transactions that are worth spending on them, searching for the most effective alternatives, determining the expected benefits before spending and increasing investment.
Thus doubling the portfolio.
Bad financial habits that must be eliminated
Many people misuse their money in a way that makes them exposed to difficult financial conditions and debts that occur as a result of increased expenditures in return for the income they receive, and from here it is imperative to know what bad financial habits they must Get rid of them and try to avoid them to get away from difficult circumstances, and the following are bad financial habits that must be eliminated:
Using credit cards that are
They have high-interest rates, in which more fees are charged than they can be repaid, as well as loans and mortgages, so it is necessary to ensure the ability to pay the minimum amount of them.
Continuous verification of investments by tracking the money in the portfolio where the individual will then transfer these The money is on or off the market, so it is imperative to put the money in long-term investments and leave it to grow unattended. Spending without planning by purchasing and storing many things without remembering the process of purchasing them, so the best solution is to plan what purchases should be made.
Make many decisions without planning them, especially for short-term goals such as going on vacation, so part of the money can be automatically put into savings.
Postponing financial decisions or implementing the new budget, as it must be adhered to without delay.
How to get rid of bad financial habits?
Everyone seeks to reduce spending and go towards saving through knowing bad financial habits that must be eliminated and avoiding them by getting rid of habits and organizing the budget, and it is also possible to do the process of financial fasting that works to get rid of addiction to credit cards, and with regard to There are several ways to get rid of bad financial habits:
Work to establish good spending habits:
by creating a budget that includes all revenues and expenditures, as it must include the monthly income from salary, wages and fixed expenses such as rent, mortgage, health insurance and discretionary spending for each month and work to reduce One of these expenses, as you can stop eating out, reduce entertainment expenses and search for less expensive alternatives. Following the financial fast:
by stopping the use of credit cards by concealing or freezing them and using cash only for daily expenses and buying necessities, so the best when the financial fast is to determine the necessities before starting it and commit to it for a period of three weeks and record all expenses and evaluate the results. Work to save money:
where you must initially pay all bills and fees and obtain a verification account to reduce expenses and avoid the use of retirement funds through the establishment of a savings fund.
This is all, try to do what i said in this article so you will not have problems with your financial life.