Money Management - Sivan Kaka

Money Management...
-take control of money-

If you were asked about your finances would you know your numbers? Would you remember your deposits, your debts, your net savings, your average monthly expenses? Not many of us can answer these questions. Money is one of the most important part of our life, but we don't know much about our own finances in precise terms. Is that not surprising?

Money management plays a very vital role in success. If you were to put the same questions to a very successful person, you will get all the same answers with analysis thrown in for good measure. Those who make lots of money, you will not be able to make best use of it.


These steps will give you an edge on your income. it will help you determine your networth, set goals(or target), monitor your cash flow and track expenses. A sound spending and savings plan is the foundation for your financial success.

Things to consider...

*Put yourself in a position to begin budgeting and
saving money even while you are a startup entrepreneur.

*Know the basics of credit reports and credit
scores and put into practice simple habits that
will save you thousands of money over your
lifetime.

*Give yourself easy tips to help decrease the overall
cost of your borrowing.

*Understand loan repayment options.

- Tracking your expenses gives you a strong
sense of where your money goes and can help
you reach your financial goals

•Successful budgeting includes categories that
reflect the way you spend money

•Review all sources and amounts of income
(after-tax) for past three months to determine
monthly income

•Review all bills and expenses for the last three
months to determine monthly expenses

•Set goals that reflect your true financial picture
•Two types of financial goals:
-managing your money
-spending your money

•Monitor budgeting process for two months to
identify areas where you can save

BENEFITS OF BUDGETING
- Less reliance on credit
- More buying power
- Better credit scores
- Ability to obtain credit any time
- Lower credit costs (prime rate)

- Pay your bills on time
- Establish credit early
- Don’t max out your account limits
- Don't apply for too much credit in a short period
of time
- Fill out applications uniformly
- Check your credit report annually or 4 months
before major purchase.



USEFUL WEBSITES FOR MORE HELP
-American Student Assistance:
www.amsa.com/bor
-Repayment and Career Information:
www.journeysonline.org

-Consumer Credit Counseling Service
www.cccsintl.org
-www.moneymanagement.org