~Cue the muscly flexed arm and money iPhone emojis~
Before I paid off my credit card bill for myself almost a year ago, I had very little idea about how credit cards actually worked (aka I thought that the bank just pulled money out of your account to pay off your bill). So it was a big shock when I realized that my passion for online shopping was probably going to put my credit into the grave if I didn’t start spending my money wisely.
I still spend more than I should every once in a while (I’m looking at you, Club Monaco ankle boots), but I’ve definitely come a long way since that first shock of looking at my first credit card balance. And because I don’t want any of you to make my same mistakes, I’ve partnered up with Credit Card Insider to share how I’m shaping 2016 to be the best year financially to date!
Budget spreadsheets are your new BFFs
I find that I tend to spend more money if I’m not keeping myself accountable, which can definitely lead to trouble down the road. To ensure that this doesn’t happen, I keep myself accountable by filling out a monthly spreadsheet to keep track of what I’m spending money on day to day. Whether that be dental floss from CVS or a new striped top from J. Crew, every credit card transaction is meticulously recorded and all charges are totaled up at the end of the month. This method is as simple as it sounds and crazy effective at stopping me from spending too much money while at the mall!
Mint.com is a smartphone app that is helpful in budgeting too!
Paying off your credit bill at the end of every month
THIS IS SO IMPORTANT! Even though I hate to let go of part of my paycheck every month (sometimes twice a month if I’m worried that my bill is getting too high by the 15th), paying off your credit card bill on time is so so important. Getting behind on payments can be a sticky situation to climb out of and so the best way to prevent that from happening is to keep up to date on when payments are due and be responsible on how you spend you’re money.
Keep your eyes on the prize, whether that be the beach or the mountains
Do you have a travel destination that you’ve always wanted to jet off to for vacation? Planning a getaway can be great motivation for saving money, since you’ll obviously want to get the most out of your trip! I recently bought a plane ticket to go down to Miami this summer for a weekend full of sand and sun, and was able to do so because I budgeted for the expense and cut out unnecessary purchases (like another pair of black scrappy heels).
How do you plan to be financially fit this year? If you’re looking for more tips, check out Credit Card Insider for great ideas!
