Financial Fitness
Americans are concerned about physical fitness, but if the only exercise you get is lifting your ATM card to the cash machine, read on and determine your financial fitness.
Ask Yourself:
- Do you keep credit cards balances at a reasonable level?
- Do you save each month?
- Do you know what you actually spend each month?
- Do you know what an emergency fund is? Do you have one?
- Are you saving with a specific goal in mind?
- Is health insurance a large part of your budget?
- Do you constantly repair your car?
- Do you eat out more and more often?
Tips on how to stay in shape
A credit card should be a convenience — not an excuse for “forgetting” how much you owe. Keep balances in check and reduce the risk of building up a massive balance that can drag finances down for years.
Why do we find it so difficult to save money on a regular basis? The main reason is a failure to take the money out automatically, before we spend it. The simplest way to save money is to have it withdrawn from a paycheck every month, without exception. That way a person learns to live on the money they receive over time and the money they sock away is not missed.
