I think everyone will agree that having money is great. But having money isn’t going to get you very far if you don’t know how to properly manage it and get the most out of it. There are various ways of making your money stretch a bit further, or making your money grow.
Whether you’re struggling financially or just looking for tips to make your money go the extra mile, nearly everyone will benefit from learning what their options are when it comes to finances and how to spend, save, and invest wisely.
Get insured
You may be surprised that this is on the list since insurance is an expense and will therefore lower the amount of money in your bank account. However, the monthly sum you pay to get your valuables insured is nothing compared to how much you’ll have to pay if something uninsured is stolen or damaged. Insurance is a way of protection. By spending smaller amounts of money every month, you protect yourself from the possible damage of having to pay out a massive amount of money in the future.
Become a private client
Many banks offer you the chance to become a private client. There are many reasons you should consider doing this, such as these Chase Private Client benefits. While not everyone may qualify for this option, those who can, should definitely look into it.
Becoming a private member of your bank means getting a whole host of benefits, such as private counseling or advice when it comes to your finances. Many banks even offer personal bankers for private clients, as well as rewards programs. Each bank is different though, so have a look at different banks to see what you qualify for and what the benefits will be.
Set up specific funds
Having your money in a specific fund means that you’re less likely to use it for unnecessary things since you know that you’re saving the money for a specific event. Retirement funds are a great idea because no one wants to worry about their finances once they retire. Your future self will thank you if you start putting away money now.
Another option is to have an emergency fund. This will act as your own personal insurance. That way, if anything unexpected should happen in the future (for example, losing your job), you’ll be able to rest assured that you have some funds stashed away to last you until you come up with another plan.
You can also start a university fund for yourself or your children, or even start saving up for a trip you want to take in a few years. Many people also choose to set up designated wedding funds, whether for themselves or their children.
Invest
Investment is a popular way of making your money grow without having to do much. Most of your efforts will go into researching possible investments and seeing what fits your current situation best. There are various ways of investing, and what works for one person may not work for another. Investing means that your money is going to earn you more money.
You can also self-invest, by spending your money on things like better education or using your earnings to start up your own business. By doing this, you will be creating paths that will likely earn you more money in the future.
Look into rewards programs
There are many different ways for rewards or loyalty programs to work. Some work with loyalty cards and you get a free purchase or discount for every purchase you make. Others make use of points that are earned every time you spend money. These points can then be exchanged for money later, or used at certain stores. You might be surprised at how many stores you already shop at use rewards programs. This is a great option because you’re constantly earning back money, even as you spend!
Budget, budget, budget
When it comes to any matter concerning your finances, budgeting should be at the top of your list. You can create an annual budget to give you an idea of what your year going forward might look like. You can also create monthly and weekly budgets. These will help you stay accountable and ensure that you don’t spend any more money than you have.
Setting up a budget can be a terrifying thing, so don’t be afraid to ask for help. You might even want to arrange an appointment with your bank so that they can have a look at your finances and help you manage them.
Don’t always use money when you pay
This may sound a bit bizarre, because how can you pay for something without using money? As mentioned earlier, you can always use rewards points to pay for a purchase, but there are other options too.
If you’re unsure of what you want for Christmas or your birthday, you can always ask for vouchers instead of gifts. This way you get to get something you actually want, instead of another pair of socks or something else you won’t be using anytime soon.
You can also start couponing. There are many people who save up their coupons and are able to make massive purchases with them! Snipping and tearing up little strips of paper may seem like a tedious job, but you may end up gaining a lot from it.
Open a fixed deposit
If you want to see your money grow over a long period of time, fixed deposits are the way to go. Fixed deposits are a popular choice among savers, as the interest rate is generally much higher than a normal interest rate.
If you’re someone with no impulse control who regularly spends money on things you later regret, a fixed deposit account is a brilliant way of keeping you accountable and encouraging you to save, since many fixed deposits require a fee or notice period if you want to withdraw your money before the agreed-upon period.
