Money Management Is As Important As Making Money

You can remember your childhoood memories of how you sit down and wish for the day you will grow up and start making money. I’m sure you do remember, but look at you now, some of you are actually making the money but the hardest part is managing the money you make. Sometimes we get the opportunity to discover or get access to making constant money, some of you are using Hive as a means, but then one thing I have realized is , when your income increases, your problems adapt and increase as well.

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I can remember when I lost my source of income last year, suddenly all the things I used to spend my money on didn’t matter. Because there was no money to spend, but the moment I had a new source of income all those problems came rushing back and am back to spending money on them again.

Managing money is very essential to help you stay above the broke line. At least help you stay above paying your bills and paying for other necessary things in life. My little experience with money has taught me some few things about money and I will like to share some of them right here.

Well managing money is based on our mindset, and it’s start with us believing we can manage money and also believe we can save. The truth we sometimes don’t want to tell ourselves is that there is always an opportunity to save. Learn to save when you are not as blown as you want to. We don’t have to wait when we are extremely financially buoyant to learn how to save. Learn to save when you have little so you can know how to save better when you have a lot. It’s better to get accustomed to this habit early enough so it can make you a better saver.

The key to successful saving is the ability to identify and differentiate between our needs and wants. Before buying somethings ask yourself in a subtle way, is this a need or a want? First of all we need to understand what needs and wants are.

A need is the basic essential things we need for our survival. It’s something we can’t live without, like food clothing and shelter. While wants are things we desire but we can survive without them. Like designer shoes, the latest gadget, going to club and buying expensive alcohols. This is another area that we need to check, and most times we find ourselves buying them unconsciously due to spending trigger. Spending triggers are things we buy or spend money on that weren’t planned for. These things include hanging out with friends, going to the mall, or being around someone that sells things that are catchy.

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Having fun is cool, but spending more than you earn every time to catch fun is very bad, so try your best and find free ways to have fun. There are lots of things and ways to have fun without spending a lot of money. You can watch movies with your friend at home or cook, so you don’t spend money on take outs.

These are just few tips to managing money so you can save. But most importantly too much saving is still not considered okay. You can’t be making money, save money and don’t spend some for yourself. Spoil yourself from time to time as a way to reward yourself for your hard work. Just make sure that your spending doesn’t supersede your earning. It’s reasonable to spend 10 - 15% of your income on yourself. This will enable you balance life and enjoy life while hustling and grinding for that money.

Posted Using LeoFinance Beta



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4 comments
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I wrote something similar last year. Being able to manage your little earning could put you in the same level of comfort as someone earning way more than you do.

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See ehn... God bless you. Ever since i understood the fundamentals on money management, i stopped worrying about a lot of things. I have not been the outdoor type to begin with, so my idea of fun is binge watching animes with lots of food or reading a book with a cup of coffee or hanging indoors with my cousin munching on ordered sharwarma. I have never had a strong desire to spend unless it's business related or has too do with basic needs like my hair. Ever since i got to understand that your wants can come later, i stopped overspending and started investing.

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That’s a good observation you made in your life. Just helps you stay on track financially

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