The present unfavourable state of the economy does not allow a wasteful lifestyle owing to the high cost of commodities caused by increased inflation.
Besides, the unpalatable situation is a respecter of nobody and as such can only be defeated with proper financial discipline and prudence.
With the purchasing power of the masses depreciating the more, survival which is key, has become very challenging to the extent that monthly take-home is no longer sustainable to many.
There is no doubt that the situation has seen several people had been depending on debts for survival and to meet their basic financial obligations.
But the fact still remains that despite the harsh economy some people still do not know how to have a grasp of their finances and block that money leaks.
Do you know that having a firm grip of your money in an unbalanced economy like ours will not only help you to live within your earnings but also assist you to have savings no matter how little?
And if you really desire financial peace of mind, it is critical you try as much as possible to enhance your earnings to avoid borrowing and living from hand to mouth especially in this dire hard times.
It is certainly factual that sticking to one’s budget even, if there is any is almost impracticable owing to unrelenting inflation, which has continued to influence the cost of commodities and living condition of the populace adversely.
But then, it is important to plan your financial future ahead despite the hostile state of the economy to avoid financial shame by obstructing every loophole in your finances.
That is why you should not think it is unfeasible because at times, when you go for shopping, there are expenses that you cannot account for, either because they are inconsequential or you do not have a shopping list to curtail your spending habit. And as such you cannot remember how much money was spent. Do you know that all those operating costs acquired and cannot be answerable for are called money leaks or drips? Mind you, it just trickles out of your account and was spent on something that was so irrelevant.
Agreed that keeping money in your savings account is quite difficult because inflation has worsened the value of Naira and the multiplier effect of that money in your savings account is nothing to write home about.
But then, don’t you think your best bet is to have a firm grip of your money and invest wisely?
Your inability to track expenses incurred particularly, if you are the type that adhere strictly to your budget shows that you may be experiencing loopholes or leaks in your money. And failure to eradicate such leakages in your money can be frustrating to your financial state if not controlled.
The under listed tips will help you see the need to obstruct those money drips that are influencing your financial life unfavorably:
Have A Spending Plan
There is need to budget your daily or monthly expenses if you really want to plug your money drips. It is important to restrict events you attend to in order to avoid unnecessary spending that may lead to financial regrets.
More so, there is no shopping event you attend that you are not likely to spend money because even if you do not bargain for some expenses, you may be tempted to spend money on trivial things that you may probably not remember.
However, when faced with such situation, use a simple approach for keeping control of your finances by calculating and making up your mind on what to spend. You can do so by withdrawing the desired amount in cash before embarking on the event.
Identify/Analyse All Payments
If you really want to obstruct leakages in your finances, it is important to keep all receipts of items purchased for proper evaluation.
This will allow you to identify where your leaks are frequently occurring. Through the receipts, you are able to figure out the items that are vital and the ones that are not essential.
A critical study of the non-essential receipts often exposes the worst of your spending blunders.
Patronise Discount Shops
It is very important you cut down on daily fling to the coffee shop or convenience store by ensuring you bring your own snacks from home.
Also, you really need to know where you purchase your smart food such as drinks and snacks as location seems to be a determinant factor for prices of some items and may not be favourable. For instance, prices of bottled drinks and snack foods at some convenience stores are generally exorbitant when compared with the price purchased in a discounted shop.
So, it is vital to take into cognizance shops or convenience stores you patronise for your smart foods.
You can call off services that you are no longer using but still paying for it to plug leaks in your finances. For example, you can go for a cheaper decoder that is serving same purpose with your current one that is quite expensive.
Prioritise Items That Of Utmost Value
Having freedom to spend your money whenever you wish is good but when there is no control on items purchased, it could be ruinous hence the need to have a good budgeting package is expedient to enable you work on your financial habit.
One of the best ways to conquer money leak is to buy and prioritise items that are of utmost value. Also, a firm decision must be taken on monthly or daily expenses to avoid impulse buying.
Ensure expenses made are essential and the money for it has to come out of your “free spending” money. Certainly, there is need to always assign a portion of your monthly income towards a certain expense to enable you stick to your monthly budget.
Use Cash to Purchase Items
Individuals treat cash in a diverse ways, which is not an offence depending on what they really want.
However, for some people, they prefer to go out cashless to avoid unnecessary spending and not to be tempted to spend it.
On the other hand, some people desire to spend only cash because it is easier for them to track their expenses and also not to make purchases if they do not have the cash in their wallets.
Avoid Impulse Buying
Identifying places that are prone to money leaks will help you to be financially alert in your expenses. Also, ensure you avoid places where you cannot evade impulse buying. For example, avoid going to big shops to buy items that you can easily get in your area of abode without going through stress.