how to create a simple budget

How to: Create a Simple Monthly Budget

When it comes to budgeting, you just have to do it.

When it comes to budgeting, you just have to do it.

You know the importance of having a budget in place. You’ve been hearing it your entire life. You see it on signs and commercials, and learned about it from your parents and classrooms. Now, you are reading it again here. So are you ready? Have you decided that it is time to establish a monthly budget to keep your expenses in line?

You will find that having a budget in place will radically help you manage your life expenses. And once you get in the habit of keeping up with your budget from month to month, you will be in better control of yourself and your spending habits. So how do you set up a budget? Well, it is not as difficult as you might think. Continue reading…

Advantages of Paying Off Your Loan Early

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Create a plan.

Paying off a loan is never at the top of anyone’s list of exciting things to do. No matter what types of loans you have, paying them off can feel like a drawn-out game of catch-up. But you have no delusions when it comes to paying off your loans, and know it has to be done. What you might not know is that the sooner you pay them the better off you will be.

And while loans differ depending on their purpose, interest rates, duration and especially amounts, it is always advantageous to get ahead of the game. Not to mention having zero debt will greatly improve your credit score and make you more attractive to lenders and businesses.

Auto Loans

According to Fortune, you should put any extra bit of cash you have toward eliminating your auto loan. Continue reading…

tax-return-2015

How Americans are Spending their 2015 Tax Refund [Infographic]

You know Americans love tax returns, but do you really know how they spend it?

63% of Americans spend their entire $3,120 tax refund.Data provided by IRS.gov & NRF

Tweet: 63% of Americans spend their entire $3,120 tax refund. http://bit.ly/1KMkVk5 via @DriveTime

The average tax refund in 2015 is $3,120 (as of March) – which is nearly a 10% increase from the 2014 national average tax refund.

Of all Americans filing their taxes this year, nearly two thirds are expecting to receive a refund. How do they plan on spending it?

  • 47% stated they will save all or part of it
  • 39% will use their refund to pay down debt
  • 25% will treat it as an extra paycheck and use it for everyday expenses
  • 13% will take a much overdo vacation with the funds
  • 11% will use it for a major purchase: a TV, upgrade their home, or a new vehicle
  • 10% will splurge on something small: nice dinner out, new wardrobe, or a trip to the day spa

Do those stats surprise you?

Continue reading…

How to Avoid Financial Pitfalls Now that You’re Independent

Avoid financial pitfalls.

Avoid financial pitfalls.

Graduating from college is an exciting time and you should be immensely proud of yourself for coming so far. Yet it is also a difficult time, as your sense of responsibly might feel like a sudden burden as the need to find employment looms over your head. If anything, you are wondering how you are going to pay back your student debt, which you undoubtedly have accrued like so many other graduates. But relax. The jobs are out there and you will be able to pay back your loan without trouble. But it will take dedication.

Without the proper focus it is easy to stumble into financial pitfalls, especially when you are just starting out on your own. But these falls are also important, because how else do you learn? What is crucial is that you keep these mistakes to a minimum and never allow them to grow so big they add considerable stress to your life.

Take advantage of your grace period

When you graduate, you are typically given a grace period by your lender which means you don’t have to begin making payments on your loan until six months have passed. Continue reading…

Tax Refund Tips for 2015

Via LifeHacker.

Via LifeHacker.

It’s that time again! You have done the hard part, which was to get all of your tax information together and file it. The days of worry are over as all you have to do now is sit and wait for your return to come to your door. You are probably thinking of a whole bunch of ways you can spend it, depending on how much it is going to be. There is certainly something you’ve been eyeing for some time and now is your big chance! However, there might be a better course of action this year when it comes to your tax return – save it!

You might be thinking, “Awww, that’s no fun!” But actually, saving your tax return can be a lot of fun down the road. And that is what you should be thinking about – your future.

When you receive your tax return this year, put it towards yourself. Don’t get rid of it on things you don’t need that are not important beyond today. Invest your return in yourself. If you need a bit of guidance of what that means, then consider the following recommendations:

Put it towards your debt

There are few things as unfun as having debt. Whether you have a lot or a little, it does you no good by hanging there above your head. Continue reading…