Tag Archives: budgeting

Simple Living: How to Live a Happier Life

Mortgage Company in Phoenix"

It’s easy to connect with other people these days. That girl you liked in junior high is now living in Hawaii and enjoying the surfer lifestyle — or at least that’s what you know based on her Instagram. That shy math geek who taught you algebra is now the president of a quickly growing company in Southeast Asia.

The problem with this kind of connectivity is that people tend to compare themselves more to others based on what they see on their social media newsfeed. While this serves as inspiration for a few, for most it becomes a source of unhappiness.

To live a happier life, you need to feel contented with what you have. A simpler yet fuller life is the right path toward happiness. Here are some suggestions on how to achieve this.

Don’t spend money you don’t have

When you are ready to buy a house, get pre-approved with a mortgage company in Phoenix like prmiloans.com. You’ll see how much house you can really afford. Do the same before you buy a car. A simple house with all the room you need for a comfortable but not wasteful life is a good house. A fuel efficient car that’s easy on the budget is a good car. You don’t need much more.

Put a limit on your belongings

People buy more stuff these days because it’s easier. All it takes is an app or a website and a credit card. Stop buying things you don’t need, even if you think they’re cheap. Own a pair of sneakers for your sport, and a pair for work. If you have in season clothes you don’t get to wear within a month, you own too many. Here’s a top tip: get rid of your credit cards and only use cash.

Disconnect

That is, disconnect from your devices and the Internet. Do it once in a while. Connect with real people instead: family, friends, colleagues, and even the people queuing with you at the supermarket checkout. You’ll see how much happier you’ll be when you interact more with people in person. Top tip: get rid of your smartphone; get a plan that only gives you a basic phone and some minutes. Use a laptop if you need to go online.

There’s just no arguing with it. A simpler life is a happier life. You don’t expect too much from yourself and that removes all the stress. Think about it. It’s a lot more genuine than Veronica’s Instagram pictures on the beach.

Personal Finance: 5 Areas to Get on the Right Track

Personal Finance in Michigan

Teenagers are big consumers in today’s economy, with a spending power of as much as $91 billion in 2011, by one estimate. Even with this statistic, though, few are saving for college or other long-term financial goals, even fewer have a basic understanding of personal finance and how to excel at it.

You don’t need to understand everything about personal finance, but you do need to know the basics to set and achieve better financial goals. To better prepare for your financial future, you need to see the bigger picture, and this consists of small things about your money.

  1. Money Management

Setting financial goals should include budgeting, getting insurance, and estate planning. You should make money choices based on your goals, values, and vision for your financial future.

Minnesota-based Kalsee Credit Union explains that knowing your money personality gives you a much needed awareness in approaching your spending and saving habits. Whether it’s living frugally and having everything on a budget, a secure financial future starts with responsible money management.

  1. Income Flow

The more income streams you have, the better. This can be active income (paycheck or instances where you trade your time for money), portfolio (from investments), or passive income (money from rental properties or other assets).The goal should be to have a backup in case one stream fails, and that you’re relying heavily on one income source.

  1. Work

This is your “day job” where you get active income. Do know, however, that it’s hard to be financially stable if you rely solely on active income because this is taxed the highest and there are only so many hours you can devote to work. This is why some of the wealthiest people get to the top not only from their paycheck but with investments and other earnings.

  1. Debt

There’s good debt and there’s bad debt; both open up opportunities, but only if you know how to handle them properly. A home loan, for example, gives you the opportunity to become a homeowner, but that won’t mean much if you can’t pay it in the end.

Regardless of the type, you have to repay debt. Focus on settling this and you’ll set yourself up for financial security.

  1. Savings

This is literally money in the bank. Saving hard-earned cash for a particular goal gives you a cushion in case something goes wrong should be your top saving goal. After that, any amount you can put aside can go to anything your heart desires.

Start by saving money ahead of time rather than charging everything on your credit card. This lets you stay out of financial trouble.

Personal finance involves numerous factors, but you don’t have to master all. Know where you want to focus on first, and then set your goals based on those to move forward with financial security.