How Budgeting And Spending Habits

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A Fool And His Money Are Soon Parted by Thomas Tusser Tera L. Overcast-Davis Daymar College The safest way to double your money is to fold it over and put it in your pocket. I think sometimes this is the best thing to do when learning of a new tax that I am going to have to pay or some expense that I did not plan on paying. In reality, a person does not want to stick their head in the sand but to plan short and long term goals so that he or she is prepared for an unplanned expense or retirement. This paper discusses budgeting and spending habits, loans and borrowing, insurance, stock and mutual fund investments, and retirement planning. Budgeting and spending habits require knowledge. A person needs to understand personal finance in order to protect themselves, understand how to plan for the future, make intelligent investments, and apply the information to their own situation. One can start by using a personal balance sheet to see if your monthly income covers all your monthly expenses. Mint.com is a great tool to use or you can hire a professional planner. Then you can move on to developing a cash budget. Use your income statement to compare to your balance sheet. This will help you monitor your incoming cash with what you spend and see where you can save. This is a good time to look for ways to cut down on spending and increase your savings. To increase your savings you need to learn your spending habits. You can set
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