Every couple who has already achieved great success, remember their first steps towards financial independence. Now, these steps seem to be childish in comparison with the difficulties that they had to face after. However, in those moments when you just graduated from high school, got married to one of the Russian brides, found your first job and started earning your first money, they seemed just titanic. It was difficult because you were used to living at someone else’s expense. The following tips will help you overcome the line between frugal family living and real solvency.
Your initial level is inextricably linked to a small salary, and even an honors degree does not guarantee a well-paid job. So, your goal is to stop borrowing money for household needs of your young family and become independent.
- Analyze your income and expenses.
You should finally start writing down your income and expenses. You should control your spending that is impossible without an analysis. Let’s say, you buy a coffee to go near the office every day, and it seems to you that the cup of this coffee costs nothing. However, if you wrote down the expenses for this cup of coffee in a month, you probably would prefer to buy grain coffee in the store, knowing that you save a lot of money.
- Control your diet.
Food will always be a necessity and one of the main items of expenditure. Nonetheless, you can always save on it. Firstly, forget about restaurants and cafes on a daily or a weekly basis. You might think that to have a breakfast in a cafe is cheaper and better than cooking yourself, but this is the misleading impression. The fact is that it will never be cheaper. You will pay extra for coffee, dessert, and the portions will be insignificant compared to what you can do yourself. Your bill will eventually be bigger than you expect. Talking about food, it is necessary to notice that you should make a shopping list in advance, at least in a week. Besides, of course, beware of impulsive purchases in the grocery store.
- Be content with what you have.
When you get your first salary, you can make unnecessary purchases. You start spending it on what you have never had. For example, you can buy all sorts of new gadgets, spend your money on expensive alcohol, cigars as well as clothes for your spouse or pay for a gym membership even if you are not going to visit it seriously. You will not have money in several days. You should not only take everything into account, but it is also necessary to understand what you really need, and what is just a whim without common sense. For example, you do not need a car in the city with eternal traffic jams, especially you are going to get it on credit, for which you will pay for several years. The same thing is about smartphones. You shouldn’t buy the next generation iPhone if your phone works fine, and you do not need additional features.
- Visit free events.
Your rest can and should be different. Search for free entertainment that both of you will be interested in. You can attend exhibitions, art galleries, lectures or poker tournaments. All this is available to everyone, and you don’t need to be a millionaire. At first glance, austerity may seem like a living hell, which deprives you of the joys of life. However, in fact, it’s worth changing just a few habits to be able to create a financial cushion, which you still need. The saved money can eventually be invested in some business that will help you overcome your first financial difficulties. Sooner or later you will perceive this time as a matter of course.