Stepping Stones to Inner
Peace:
Live Simply - Simplify Your Money
Electronically
deposit ANYTHING that you can: Salary, Social Security, pension
payments, mutual fund distributions, etc. Have money withdrawn
electronically for utility bills, student loans, mortgage payments, and
for deposits to savings accounts and mutual funds.
Whenever
you write a check or use an ATM machine, record the transaction in your
check-book register immediately. If you are bad about this,
keep the ATM receipts in your purse/wallet until you can record them and
buy duplicate checks. Make sure that you can retrieve account
information from your bank by phone.
Develop
a SIMPLE record-keeping system and stick with it. Whatever system you
use, make sure there is a file labeled "Un-filed Financial
Records." This should be filed at the beginning.
If
you own lots of individual stocks, consider selling them and investing
the proceeds in mutual funds. Mutual fund companies can diversify better
than you can and they will take care of the records.
Keep
all of your bills in one place; pay bills once or twice a month; and
never open a bill until you are ready to pay it.
Whatever
bank that you choose, make sure that it has an automated teller machine
(ATM) close to home, office or favorite shopping center. Don’t use
ATMs to access your savings account unless you have a lot of
self-discipline. Always keep your checking and savings accounts at the
same bank or financial institution. Money magazine often
evaluates banks state by state. Check your bank out before you open an
account.
Try
to get down to just ONE credit card. If you have the self-discipline to
rip all of your other credit cards up, get a consolidation loan to pay
them off.
Check
out the interest rates and fees on credit cards and get the best
possible deal. Look at the financial magazines in the library or the
financial sections of large newspapers. Some credit cards are definitely
better deals than others are.
When
you write a check to someone that you pay each month (like a credit card
account or an utility bill) round it up to the highest dollar or ten
dollar amount. This makes it easier to record in your checkbook register
and you are less likely to make mistakes in totaling your balance. The
company that you overpay will simply credit your account for the
difference.
