TIPS TO CONTROL OVERSPENDING

Do you know where your money goes?
Every month when paychecks are deposited electronically to our bank account, and as a convenience way to spend is by using debit and credit cards. Unfortunately, it makes it too easy to bust the budget and to recognize how much is being spent. Sure, you can log on and look at your bank account every day, but most people probably don't. When they finally see their balance, they might wonder …… where my money goes? More than likely it's not the mortgage that's killing them. It's the daily money drain. So what should you do to help you get back on track.
In order to control this, do you have to write down every nickel spend? Or may be you have to write down how much cash you will need for a week's worth of spending for the day-to-day stuff like gas, groceries, going out for meals and so on. Or you don’t have time to do this. Just use your credit card to get through the rest of the week. Then at the end of the month you feeling shock and disappointed to see how much you had spent.
If you'd like to get a handle on your spending habits, all it takes is a small notepad and a bit of determination.
Step 1
Set aside 10% of your monthly income into your Contingency or Investment Account. Only use this money for contingency purposes. If not just leave it there.
Step 2
Figure out how much cash you need to cover a week's worth of gas, groceries, entertainment, dinner, breakfast, books, cosmetics and so on.
Step 3
Be honest. Don't deliberately overestimate so that you're sure to have enough cash to get through the week.
Step 4
Set the anticipated amount aside and don't use debit or credit cards.
If you get through the week with the cash set aside, congratulations! You are on the right track. If you need to make a trip to the ATM, it's OK. Just review your purchases and see where you could have trimmed costs. This is about developing a mind-set where you seriously consider daily cash expenditures. It can lead to more money in your savings account and long-term financial plans.