How to manage less money

Most people just make less money. They are difficult to reach the financial freedom because they need to cover their spending. Sometimes they borrow other people money to cover their spending.

Off course they must pay back the loan when the debt due. Sometimes they must pay the interest that is higher than the principal.

The people should not borrow to cover their spending. They must manage the money well so they can cover all the spending.  The keys of manage less money is to strict the spending. So we have to:

1. Create a budget

Budget may not help you to become rich but it is a good ways to manage your less money. Allocate your moneys to important things such as food, beverages, your apartment fee, also your credit.

2. Make more money

This is a good ways to increase your money and cover your spending. Find another side jobs that you can do after working hours. One or two hours that you use to work may make dozen or hundreds money.

Writing is the way to make money from the internet. You can also participate at the paid survey but you should sure that the website pays you.

3.  Live below your mean

Do not live like other people that spend so much money. You can go to the office by mass transportation that can save hundreds dollar from it. You should not buy the food outside that can

4. Saving first

Though you just have little money, you can save your money from your salary. Try set a side money for saving about ten percent. You can deduct other spending so you can save for more money. When you get the unexpected income you can put it on your saving.

One day, your saving will become large and one day you will have more money.

Pros and Cons budgeting your money

Creating budget is an activity to control the finance. It is similar to a handbook that guide us to spend what we need and find money to fulfill the daily necessity.

In an office, there are two employees who have different salary. Mr. Patrick is a high paid employee in the office who cannot fulfill the daily necessity. The salary is not enough for him whereas Mr. Straw, a lower paid employee, can fulfill the daily necessity. Mr. Straw also invests the money to stock and precious metal. Both, Mr. Patrick and Mr. Straw is married with two children.

Mr. Straw also creates the budget every month. He is very disciplined man and obey the budget. He never takes the credit to fulfill the daily necessities and he has no credit card. He prefers to buy anything cash so he never receive credit card bill letter. He has plan to school the children to medical school or university.

However, the budget also has some weakness. Mr. Straw always creates the budget every month. He always evaluates the budget at the end of the month. Sometimes Mr. Straw should work until late night to make correction.

Mr. Straw's lifestyle changes as the budget has written. He decreases some spending for other spending or investment. He prefers to go to office by bus or subway. He just uses the car at the weekend so he can thrift some dollar. Sometimes he tired to office because he uses subway.

Some people dub Mr. Straw as a miser people. They think he is able to use the car but he does not use it. Mr. Straw supposedly calculates the aggregate benefit of using car or subway. Using car may be expensive but he can arrive in the office early. He does not need to stand inside the subway. Unless Mr. Straw is still young or has health body. Going to office with subway is not problem. If Mr. Straw got sick, he will pay for hospital fee that it is not cheap and he must be rest.

The Mr. Straw should delete some spending because it is not recorded on budget. The budget makes Mr. Straw become spending mindfulness. Mr. Straw supposedly manages to increase the income. He can use the asset such as car to make money. He can rent it to the rental car. When he needs the car at the weekend, he can use it.