It’s every income earners dream to cover bills, pay off debts, save and still have some fun with their limited income. However to stay on top of your never ending expenses and making your salary sufficient, you need to be realistic about the things you need and those you don’t. If you want you can put your needs and wants on paper, this will help you be more organized and serve as a constant reminder of major needs and irrelevant expenses. Here are few ways you can curb your expenses and make your salary sufficient.
One important thing you need to do is to leave within your means. Make a list of all your daily and monthly needs, followed with the amount of money that goes with them. Make sure the expenses listed are necessary, such as rent, transportation, food, utility bills and important shopping. Also if you can afford it, you can make a list of your wants and their daily or monthly cost, for example going to the cinema, eating out, travelling etc. Remember this is optional.
When you’re done with your lists, add the total cost of each list together and then subtract from your monthly salary. After this brief calculation, if you still have excess then you’re good to go but if you don’t, you may have to make some substitutes. This is where scale of preference comes in, choose the expenses that are crucial (utility bills, transport etc.) and let go of those that can be forfeited like the cinema, a third phone, eating out etc.
Is not a bad idea if you start thinking of ways to make more money, as Nigeria is a country where there are lots of profitable activities to startup. With this in mind, why not try and think of business activities that will double your money. Instead of spending and waiting for the month to end so you can spend again, put your brain to work and figure out how you can make more income. Perhaps you may get to a point where you don’t have to touch your salary, and then you will be financially comfortable.
Keep your expenses to the minimum. When it comes to your salary, your major goal should be to cover the costs of all your monthly expenses and save as much money as possible. Living within your means might be easier said than done, and that’s why you need to be creative. Cut out unnecessary pricy expenses and extravagant living, skip expensive items and vacations. Instead of eating out, eat at home by making your own food, which is cheaper.
Set your financial goals, whether it’s paying off debts, bills, shopping etc., you need to establish detailed financial goals. Write down what your financial goals are on a stick-note and place on your fridge or bathroom mirror, so you’ll be constantly reminded about the importance of saving and not spending carelessly.
It can be very shocking when you put together all the expenses you’ve incurred, hence you need to organize your expenses and create a spending plan, which will enable you to identify areas where you can get extra money to save. Try and have some money stashed away for future miscellaneous expenses, you’ll never know what may come up; always make it a point of duty to save.
Hope you found these ways of making your salary sufficient useful and easy to comprehend. Having a sufficient salary is not impossible, you just need to plan, make the right choices, use your thinking power, and make effective and realistic goals.
photo credit; sunnewsonline.com
