Financial Resources – Getting The Most From Them

Almost every family does some type of financial planning. Sometimes the planning is simple indeed. It goes like this: “If we ever get this car paid off, I’d sure like to get new cell phones and a computer.”

Many families find themselves constantly running short of money although they think they’re earning enough to provide a good living. They decide they would like to do a better job of planning, and they intend to start next week, next month, next year. Why are they stalling? Because they’re frightened by terms like “budgeting” and “keeping books.” Because they think that planning means putting themselves into a financial strait jacket.

Getting the most out of your financial resources does call for some planning, some discipline, some looking ahead. But it doesn’t have to be a gigantic undertaking with stacks of forms to be filled out. The more complicated your method of handling your money, the more likely you are to chuck the whole business.

Basic Rules of Money Management

If you both agree it’s high time you found out where the money is going (and we hope you reach that point early in your marriage), start with these simple rules:

• 1. Keep your method of money management simple.
• 2. Work out a method that is right for you, rather than try to use a set of “average” or “model” figures.
• 3. Don’t try to do it all in your head; keep a written account of what you spend.
• 4. Be realistic.

Reckless spending is not the way to get the most out of your financial resources; nor is miserly hoarding. No doubt about it, money is intended to be spent. The questions are: When? and for What?

• Four Principles to Remember
• Where the Money Comes From and Where it Goes
• Guidelines for Practical Money Management
• What Do You Know About Money Management?