Personal Finance Tips: How to Manage Debts and Enhance Your Income

As far as personal finance is concerned, it is very important that you take control of your expenditure by always keeping track of your spending. Always. If you want to get rid of debt from your life and increase income, you must not only create a financial plan for your situation but also make sure that you stick to it. Regular tracking of your expenditure helps one follow up on their daily spending and always ensure that you don’t overspend. This way, you will be able to minimize your costs where necessary and be on your way towards financial freedom. Below we discuss Top Six Personal Finance Tips:

1) Build an Emergency Fund

There are so many things in life that can be unpredictable: getting ill, an unexpected firing from a job, accidents and even death. Although we can’t be fully prepared for all these things, we can at least be financially ready for some or most of their adverse effects on our lives. Build an emergency fund for your rainy day. You can either use conventional saving plans via banks or come up with your own DIY way of saving.

2) Work Towards Improving Your Debt Situation

When you are in debt, rather than whining and regretting, start by accepting your situation. Once you have accepted that you are in a challenging situation that needs a solution, then you can move to the next step: finding a solution. Hating and blaming yourself for being in excessive debt doesn’t solve anything. Clouding your mind with self-denial, regrets and self-pity will only make your situation worse. You need to put your entire mind and efforts into working towards making your personal finances better.

3) Minimize Your Monthly Expenditure

Look around your household. How many ways can you find to bring your utility bills to a lower minimum? For instance, you can buy a programmable thermostat that is capable of automatically switching on whenever necessary so as to reduce energy consumption. If gasoline prices go up, do you also let your monthly gas expenditure double at a time when you are also struggling with other costs and debts? Absolutely not! You could, for example, avoid taking unnecessary car trips to minimize on gas costs. Another way to reduce your monthly spending is minimizing your trips to the local grocery. Why waste money on gas to the grocery every single day yet you can buy stuff in bulk?

4) Supplement Your Earnings

In simple language, what we are saying is: get more cash into your pocket! Create or look for opportunities to make more money and increase income. For those bills, debts and expenditures you can’t avoid or reduce, then enhance your ability to pay them! In addition to your weekday job, get a supplementary weekend job. You can also work online alongside your other roles at work. Nowadays there are so many opportunities for online work. In addition to paying off some of your most pertinent debts, the extra income can help a lot towards improving your quality of life by adding to your regular income.

5) Get Rid of Unnecessary Costs

If you evaluate your lifestyle and personal finance carefully, you will find a number of unnecessary expenditures that you can eliminate from your life. For instance, if you are a stay-at-home mother, why should you enroll your children at a daycare center when you are available to take even better care of them at your home? You can also do without some expensive adult grooming like new manicures and hairstyles every week. You can also eat out less regularly, reduce entertainment expenditure and take fewer car wash trips. When things are tough financially, take steps to pamper yourself less.

6) Consider Shared Insurance

Insurance options are as many as you can imagine. In case you have been using an expensive health insurance, for example, and you find yourself struggling to pay up because you have been retrenched from your job, why not go for a cheaper option like shared insurance? As you look for a new job posting, such a less pricey alternative could help you minimize your monthly spending and manage your personal finances better.


Now that the economy isn’t very pocket-friendly, you don’t have to stress yourself. Take steps to minimize your expenditure as much as you can, increase income, get rid of debts and generally work towards improving your financial situation. With good planning and a number of sacrifices in your lifestyle, you can still effectively manage your personal finances, avoid unnecessary debts and costs, and enjoy your life.

Do you owe anybody any money?

It’s a very rare individual who can honestly say no to that question.

Most of us have borrowed money from someone at some stage.

Now you probably have figured out that I’m not talking about the $20 you borrowed from your friend when you were out together.

No, most of our borrowings are for things like car, house, holidays, education etc.  And that’s not even thinking abut the general expenses we put on out credit card every day.

Borrowing money is not a problem if you are able to pay it off at the end of the month. Not counting the car or house here.

If you are in the unfotunate position of not being able to clear your debts every month then you are in a financially precarious position.

Should you lose your source of income you would really need to scramble to reduce your debt load fast.  If not you’ll be hounded by creditors and totally trash your credit rating.

OK, lets not think about losing the source of income but lets start reducing the debt load anyway.

Getting rid of risk once you have identified it is always the best way to go.

There are simple and easy steps you can take right now to take control of your spending.  You’ll clear your debts in double quick time but you will have to do something you probably haven’t done before.

You will have to write down everything you owe with the interest rate and the current payments you are making. This is not to frighten you but you can’t fix something if the don’t know exactly what needs fixing.

Also write down everything you spend money on each day, you may have to keep all your reciepts for a couple of days to find out but you need to know.

Would you believe that you are now ready to clear the credit cards and start down thr path to debt freeness (is that a word? should be).

Here are the steps, so simple you can do this. Clear up some extra money from your daily spending, you are probably spending $5 – $10 every day that you don’t need to, most of us are (or were). Put this additional money onto your most expensive credit card. Do not add any more purchases to that card. Keep making the payments on everything else.

Once that card is paid off cut it up. You really don’t need an expensive card.

Put the total amount you were paying off that card including the extra, into paying off the next most expensive card. While you are paying off one card don’t use it, it just makes it harder to clear the debt if you keep adding to it.

In todays world it is difficult, if not impossible, to exist without at least one credit card. I have one credit card and one debit card. I mostly use both of them as debit cards so I can only spend what I have in the account.

Now you are on a roll, this method snowballs your repayments into the next most expensive debt until they are all cleared up.

Once you get to the point of only having a house mortgage to clear up you can split the extra repayment so some goes onto the mortgage and some goes into an emergency fund.

An emergency fund is just that, only for emergencies.  I don’t know how much you need in this fund but I like to keep at least $10,000 available.

OK, that’s it for this post and that is really all there is to clearing up debts.

Yep it can take years but believe me it’s totally worth it.

Just the feeling that I can pay off all my credit card purchases at the end of each month is great.  No more worrying about what things cost because there is always money in my accounts.

Now it’s your turn.  Get stuck in. Leave a comment on your progress.

How to Quit your Job.

Do you to know how to Quit your job and not finish up on the street?

In short, you must fend off the self-employment trap.  Treat it like a business, and create many passive income streams. This may not be as easy as it sounds.

Stop the Self-Employment Trap.

When I first started working for myself I loved it. I was in charge, I found the customers, did the work, sent the bills and banked the money. I did it all and I was busy, busy, busy. And then … things began to slip. I didn’t send the bills on time, so the money didn’t come in and some of my cheques bounced.

This is not a good situation to be in, it can ruin your whole day (or longer). Fortunately I was able to get the cash flow happening again and appease my creditors but it was a wake up call. I began exploring the alternatives but I discovered that I had set my business up wrong from the start and I was locked in.

Because I had set up the business incorrectly from the beginning there was nothing I could do.  At that stage I knew I had only two choices, keep going as I was and make a good living but remain exhausted permanently until I retired or close the business down and explore alternatives to exchange the job for a self-employed job.

Ultimately that is what I had built, a job without benefits. In fact it was worse than a job because I couldn’t take a holiday, my customers needed me. I only made an income while I kept working and I was working 12-14 hour days 7 days a week. Take it from me – don’t do it.

Making Money on the Internet.

My search brought me to the Internet and online marketing. Seriously, this is just one of the ways of generating passive income but it is the most accessible one for most people. The reason for that is that the entry cost can be low and the profitability can be very high.

Like many other people who explore this most fascinating medium, I found the techniques difficult to learn and I have spent a lot of money attempting to learn the “secrets”. Actually, that’s not quite correct, I spent a lot of money trying to learn the “short cut secrets”.

After all, that is what the gurus keep trying to sell you “Who else wants to learn how to write headlines that practically force people to tear out their wallets and throw their money at you” and “Who else wants to learn how to flood your inbox with cash” etc. And do you know what? Yes you do because you’ve been there as well, their products stuff their inboxes with cash, their headlines force you to tear out your wallet and throw money at them but they don’t help you. Why is that?

Well it’s mostly because they get their books ‘ghost written’.  Their sales letters are written by professional copywriters and they get all their guru buddies to send emails to the lists they built 7 years ago. So how do you (and I) get in on this gravy train?

I’m still working on it but I am prepared to share my experiences. Go look at my other blog for some beginnings.

Where to Start?

You could also start by having a look at my book The Easiest Way to Make Money Online. This book does actually have a good plan that’s are relevant to 2018 unlike so many that are offered these days.  It actually describes how I am building this site and how you can build your own.

When you get this book, which is free by the way, you also get access to the members area of this website where I go into greater depth on the subject of the book and other aspects of money management from clearing debts, creating cash flow and increasing wealth via as many aspects of financial management as I can.

Oh, yeah. There are no “short cut secrets” or any “secrets” the whole process is actually very simple, no, not easy but really is simple. Straight forward steps which MUST be followed and tracked and tweaked and adjusted and monitored. No you won’t make $100,000 your first month. You might make $100 in your first month, and you might not but if you follow the process you will probably begin making money quickly.

Hey, good luck.