I am terrible at managing money... am i alone in this?

Question

I am on a good wage, but my lifestyle is basically do what i want when i want. I never seem to have any money! I have had to move back home with the parentals .... and i am supposed to be paying more debts off, but instead i am enjoying the extra cash for now. Its got to the point where i know that i shouldn't spend out, but i think that i should be allowed to treat myself a little. Does anyone have any tips for keeping an organized budget? I do try but its so easy to just loose it!? please help. Thanks xx

Answer 1

In my opinion, your answer is simple.  You don't have to become a hermit but every month consider putting some of your spending money into a bank account getting you good interest instead of spending.  What you choose to cut out monthly is up to you.  Maybe its not eating out so much or not buying those really expensive clothing that you've been wanting.

Answer 2

It is a matter of will and determination. And at the moment you don't seem to have the will because it's so easy to go back to your parents' place. If you're really serious about this, then you have a real chance right now to  put some order in your finances. I assume your parents are giving you a break with the rent. Put the difference in your savings account. Do as if you were on your on: put a bit aside (as if you were paying utilities). Get rid of the credit card(s). Pay cash as you go when you NEED to buy things, not when it's an urge of the moment.

Answer 3

Unfortunuately you are more the norm rather than the exception (a big reason why our eoncomy is the way it is right now).

There's no easy way other than to create a budget of how much you make a month versus your monthly expenses.  Cut up your credit cards and force yourself to only use cash so you can directly see where your money is going.

Answer 4

Read some financial literature. "Your Money or Your Life" is a good book and so is "The Total Money Makeover" by David Ramsey. You've gotta make the hard choice to stop living your life day to day. There is actually tomorrow and there will be old age. Visualize how you want to be living when you get to be your parents age.

There is a difference between treating yourself "a little" and over indulging. And treating yourself does not have to be all about spending money. You can go for a walk in the park, borrow a good book from the library, take a bubble bath, something other than splurge. Instead of treating yourself develop a reward system. Say, you treat yourself when you pay off one of your debt and not before? That would give you some motivation to get started.

You can do this!