Are you earning enough to cover all your monthly expenses, then suddenly you cannot pay your bills on time? You live thinking that you need to make more, but when you receive a bonus or are promoted, does the situation remain the same? You are not alone.
This happens because paying bills on time is not only a matter of insufficient resources but mainly financial organization. If you do not prioritize your obligations, you boycott your budget and end up spending more than you should. The result? Interest and more interest plans that do not leave the paper and, often, until the denial of the name.
Want to know how to avoid this snowball, keep your accounts up to date and still have money to make your plans? Then follow the five tips we have prepared!
Prioritize accounts: only spend after everything is paid
First, the obligation, then the fun: you must have heard that saying, right? For it is more than valid also for financial life! Once you receive your payment, the best thing to do is to withdraw the accounts for the period immediately. If you start using the remaining balance only after you pay everything, you avoid the risk of paying interest and penalties, which can considerably increase your bills.
Rental agreements, for example, usually offer discounts for up-to-date payments. If you are late, you may have to take a considerable difference, which would be better taken advantage of in several other ways. Also, in general, when you delay a ticket, you pay:
- The fine, equivalent to a stipulated percentage of the total value of the document;
- The default interest, calculated according to the days in arrears until payment.
By doing the math, there is no doubt that it is best to pay before you even start thinking about spending. How about making this attempt next month?
Use automatic debit: pay in a day without risk of forgetting
To help with your financial control, try to use the automatic debit feature in your bank account as much as possible. That way, you do not run the risk of forgetting the payment and, with that, suffer the losses. And there are even more benefits, such as:
- Many banks offer bonuses in loyalty programs, which can guarantee, for example, extra credits for your mobile phone;
- No bank fee is charged to use automatic debit;
- Some lenders give discounts to those who authorize debit into account.
Concentrate the pay: avoid spending the money of some commitment
You may already know how difficult it is to control accounts with multiple different maturities. Imagine then receiving your salary on the 5th business day of the month and having an account expiring on the 20th! It’s easy to forget, is not it?
Whenever possible, therefore, set the due date for dates close to your day of receipt. If you receive every day 5, for example, concentrate the tickets on the 10th. So you take it all out at once, and you can use your balance without significant concerns!
Use financial control applications: rely on technology
If you have difficulty controlling the use of money and knowing how much you can take on commitments, you should resort to the help of technology!
Today there is a wide variety of applications and software for personal financial control – many of them, incidentally, completely free. Try some and choose the one you find that completes your needs most completely. And did you know that there are options that even update the bank balance automatically?
Have a monthly budget: no credit abuses
Using apps to track your spending is also very useful for following this last tip. After all, by controlling your monthly budget, you avoid getting into more debt than you should!
As much as overdraft and credit cards offer many facilities, it is always essential to stop to think about whether you will be able to afford this commitment without getting cramped. That way, you’ll be able to pay bills on time more efficiently and without wasting money on interest!
About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks™️ file, critical financial documents, and back-office tools in an efficient and secure environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.
