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In order to properly take care of your money management you don’t have to be Bill Gates. You just need to be able to take care of a few simple things.

Not saying that keeping track of your money can’t be a difficult task to accomplish sometimes, but when you break it down into three simple questions it gets a lot easier.

Where is my money going?

Start by examining your costs and what you may owe to things such a home loans, credit cards, financial aid loans, or any other type of debt.

The next step in conquering your money management is keeping a very detailed account of all the money that is going out of your pocket for at least a month. This will come in handy when we move forward with our next step.

Get an idea of what fixed expenses you might have including rent/mortgage, car notes, or insurance.

Following this we are going to break everything down into categorized spending, such as what you may spend at the grocery store, on gas, or going out to eat.

This is called doing a cost analysis.

How much can I keep?

Often times we think we need to be saving for things like that new car, addition to our home, or even a new purse. These things are often what we might think we need to save for, we often overlook the unexpected things like when the dishwasher breaks or the transmission goes out on your car. This is where identifying what we really need versus what we want comes into play. We will most likely need to fix or replace a household appliance that goes out while we can usually skip that designer hand bag or new TV.

When considering these things in our money management we also to need to think of the future. I imagine most of us want our children to be able to go to college or even retire one day.

Itemizing the things that we are wanting to save for and putting them in order of importance is a great step that will help you accomplish your goals. You also need to be aware of how much things will actually cost, like how much you will really need in order to retire.

Concentrate on the goals that are on the top of your list and be sure to have one for the present and the future.

You have just calculated your expenditure projection.

What will it take to get there?

Go through everything that you spent in the last month. Look at what you really need against what you can cut back on. Try to eliminate those nonessentials in order to save every dollar you can.

Now you should have a good idea of what things you can do in order to improve your money management on multiple levels. In fact this is now the new budget that you can follow each and every money allotting X amount of money to each of the categories.

Some other great ways to get ahead on your money management are opening up a saving account that will have automatic deposits. Or set up an IRA in order to further extend your retirement savings. Also inquire about 401(k) plans at your work place.

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