Do you feel like you could be saving more or should be saving more? Or do you fall into the category of the average American saving only 2%? If you are like most people you could and should be saving more. You need to jump start your savings today!
In order to jump start your savings, you need to do take two steps:
1. Begin an automatic savings plan to pay yourself first out of every paycheck.
2. Create your own personal (or family) savings program.
Both steps are the only two critical steps you need to act upon to jump start your savings today!
Create a Savings Program!
A savings program consists of a budget, specific savings goals, and savings strategies composed together to maximize how much you can save. Think of it as a plan. Without a plan, you may wander about, not knowing where you are going, how to get there, or where you even need to go. These are all negative hindrances impeding your progress. By creating a savings plan, you set in writing what you want, what you have now, how far you want to go, where you want to go and what methods are going to take you there. Your specifically tailored savings program is your strategy for maximizing your savings potential so you can reach success through saving.
A savings program consists of several items, or steps to create a true personal savings program. The most critical step, and the only one you need right now to jump start your savings, is to create your own personal (or family) account record book.
In order to budget, save and invest your money, you need an accurate account of how much money is coming in and how much is going out. Write down every dollar and cents you spend and earn. Include everything: your checking and savings accounts, cash, credit cards, your regular wage and any other money you may receive, such as income from side jobs. Include every dollar and every cent. Until you have mastered how to save money, every cent recorded in your account book will be significant.
An account book has many benefits. Your account book will be the basis for your budget. An account book allows you to examine how you are spending your money.It gives you an accurate picture of what you are currently spending and saving, and it divulges to you what is required to change to get the savings you desire. You will now realize where your money is going. You will be able to decide what you can eliminate, what can be reduced, and what will save you the most money.
An account book, or a record of income and expenses, will allow you to realize what your efforts have produced. If you have reached a 10%, 20%, or 30% savings, your records and a little arithmetic will give you the proof. You will be able to watch your progress grow as you save more and more and know when you can reach 50% savings and finally have reached it.
Take a few moments now to begin your own income and expense record book. Grab either a clean 3-ring notebook or an account ledger book (available at any office supply store) and begin immediately your own personal income and expense record book.
There are several different ways to set up your income and expense record book (check out Saving Your Way to Success for several illustrated examples), but the simplest would be to use the four column, running total method. This is the easiest to get started with immediately. To use this method, you only need four columns: Date, Transaction Description, Amount and Running Total. You simply start with the money you currently have in your pocket (or billfold, purse, etc.) and then with every instance of an expenditure or income coming in, you write down the current date, describe what you did with the money, and then add or subtract. It is that easy!
After you have a months worth of income and expenses, you may want to compile totals for various spending categories (the next step in creating a working budget). There are no absolute numbers (for example, if you spend more on housing, you will need to cut back on another category), but the following are guidelines for you to get started:
- Charitable Gift – 10-15%
- Saving (initially)- 5-10%
- Housing – 25-35%
- Utilities – 5-10%
- Food – 5-15%
- Transportation – 10-15%
- Clothing – 2-7%
- Medical/Health – 5-10%
- Personal – 5-10%
- Recreation – 5-10%
- Debts – 5-10%
An account book is your personal progress report. It is your own personal positive helper. As long as you continue to grow your savings, it will show you amazing, positive results, and if at some moment you lapse in your savings, you will be able to figure out what didn’t go according to your budget plan. You will be able to watch your savings grow, grow, and GROW!
Pay Yourself First!
When you begin a plan of systematic savings with every paycheck, you increase your savings dramatically. When you save $.50 of every $1 you earn and add the $.50 you saved with every $1 you spent, you literally multiply your savings. Save when you earn your money and when you spend your money. By implementing this strategy, you not only jump starting your savings, you are leaping forward by leaps and bounds.
Begin an automatic savings of 10% (or more) of every paycheck. By developing a plan in which you automatically save a portion every time you receive your paycheck, you take an important step forward in reaching success through saving. By reducing how much you have to spend (because you automatically save a percentage of every paycheck), you force yourself to live on less income. Once you are accustomed to spending less, you will be able to increase your savings from 10% to 15% to 20%. This is a crucial step in the creation of your savings program. You can reduce how much you spend and can begin saving immediately just by saving a portion of your paycheck.
An automatic savings of every paycheck–or, simply put, “paying yourself first out of every paycheck”–is a great method for saving money. Begin right now! Stop reading (for a moment), grab your billfold, purse, or wherever you keep your money, and begin an automatic savings plan by removing 10% of whatever is in it. Even if this amounts to only a few dollars, do it anyway. Now stick your money in an enveloped marked, “savings” and put it somewhere safe. Congratulations! You are now on your way to saving your way to success.
The very best way to manage debt is to be debt-free, yet that is easier said than done in today’s economy. However, when it comes to paying for your college education, acquiring debt or student loans to afford the tuition cannot be avoided for many students.
In planning for the successful repayment of your student loan many things must be taken into consideration. To get ahead of the game you should plan to repay the loan before you sign the first promissory note. In a perfect world this might be the case, quite the contrary most student do not consider repayment until after they have graduated from college and land their first job.
Here are some suggested tips to help you make plans to deal with your student loan effectively to ensure repayment success.
Tip #1: You Do the Leg Work
All loans are not equally created. Some loans offer repayment incentives while you are still attending college; this bonus in some cases can be extended even after you have graduated. On the other hand, there are loans that provide no such stipend and the loans are due shortly after you have graduated college. For example, the Federal Family Education Loan Program (FFELP) loan charges a 3% loan origination fee; one stimulus is the proposal to pay this fee for students. The student in-turn has more money to off-set the cost for books, school supplies and living expenses.
An example of the incentive after graduation would be the fact that you could qualify for reduced interest rates. Also, should a student want to repay the loan through an automatic withdrawal system, like payroll deduction, for example, the probability of receiving this incentive is even greater? As you can see, there are notable differences in each student loan; that is why it is necessary to ensure that you have a thorough understanding of what each loan offer; and choose the one that provides the best incentives.
Tip #2: Read Your Mail
Typically, student borrowers get tons of information concerning the student loan. The student receives mail, normally, immediately prior to, throughout and following graduation from college. Consequently, it is crucial that you read through the entire stack of mail carefully. Therefore, if you have concerns, or there is information you do not understand; by knowing what is going on now you can get the problem resolved right away. Remember, it is necessary to ask if things are not clear, don’t ignore the mail or you might miss out on a critical deadline or important information you need to act on concerning the loans.
Tip #3: Organize that Mountain of Paperwork
Save all of your student loan paperwork and correspondences, as soon as you get it in the mail in the mail. That way, you are going to know exactly what you agreed to, what is expected from you at loan repayment, and also to remind you how much you have borrowed, which is extremely important. It is interesting how signing the promissory note for your loan is so exciting, repaying the loan seems far away, but only for a while. Four years of college pass by quicker than you think. Before you know it, you are graduating, and the student loan repayment is glaring you in the face.
Organization and having the ability to put your fingertips on the loan paperwork will assist in alleviating a lot of the panic. To make things easy for you, begin by establishing a good, easy to use, record-keeping system in which you are able to keep your student loan paperwork and correspondence. The bookstores and libraries have books and software products on personal finance and organization that will help you get going. No matter what filing system you choose, whether document folders, binders, portfolios, or envelopes, create one file for each loan or account you have, and keep your items categorized appropriately. Additionally, while organizing your record-keeping system, make sure that it is safe. The record-keeping system should be kept free from thieves or fire. A number of professionals also recommend that you need to keep your student loan documents and correspondences until they are all totally paid off. This is what you need to keep a record of.
- Essential paperwork like your college student loan applications, promissory notes, disbursement and disclosure statements, and also loan transfer notices.
- Copies of all correspondences concerning your student loan company and/or servicing company, such as your school’s financial aid office.
- Contact and phone number of the loan provider.
Tip #4: Be Present at all Required Entrance and Exit Sessions
When you take out a student loan, you will have to complete the student loan counseling sessions. Some schools give this on-line and the sessions will not require a considerable amount of your time. They will give you a significant amount of information concerning your rights as well as your obligations as a student borrower.
Tip #5: Budget Finances Like a Pro
The adage when you live to impress when you are in school, you might live like a pauper when you have completed your degree. Quite simply, it is essential that you learn the best way to manage your hard earned money when you are going to school. Frugality can help you reduce the amount of the loan you apply for; as well as reduce the total amount you are going to be responsible for paying back. Here are a few sensible techniques worth taking into consideration:
- Prepare realistic budgets while you are going to school and even after you graduate. This will probably enable you to borrow only what you need, providing you an excellent opportunity to pay back the loans.
- Learn how to live as inexpensively as possible. Bear in mind you are only a college student. You can enjoy a much more trouble-free life if you graduate with little to no financial debt. Many excellent tips on how to be cash conscious include finding a roommate, renting a video rather than going to the theater, and taking your lunch from home rather than going out to restaurants.
Thriftiness is the name of the game, so be as thrifty as you possibly can.
- For virtually any credit card debts you receive, try to pay off the total amount due.
- Set up a financial budget for yourself and stick to it. As long as you are in college, it will be beneficial to see how you can avoid the desire of using credit cards or your student loan money to purchase items that are not contained in your spending budget. Never simply purchase unneeded items.
- If at all possible, check out work-study or other part-time job. Finding a part-time job will give you the chance to gain useful specialized experience, as well as providing additional income to cover expenses.
Tip #6: Retain at least Half-Time Enrollment
If you are thinking about half-time enrollment, it is essential to ensure that you are eligible for an in-school deferment. The part-time enrollment usually takes six credit hours. Check with you educational institution requirements concerning the prerequisites for half-time standing.
Tip #7: Make the most of Tax Cost savings
A number of college students who take out student education loans qualify for tax breaks. To determine your status, seek advice from your tax consultant. The breaks are now determined by your qualified college tuition repayments, and in addition, they will help decrease how much Federal tax you have to pay. If you are paying interest on a student loan, it is possible to receive a deduction on your individual Federal tax return for all interest payments. When, you get the advantage of the tax credit as well as the deductions, use the extra tax reimbursement to pay down your student loan, or to take care of the educational expenses.
Tip # 8: Show Me the Money
College graduations is now behind you and your new careers looms just ahead, but guess what; it is now time to repay those student loans. Some loans come due soon after college graduation while other loans allow a bit of time before repayment is due. The bottom line is the loan will have to be paid. Here are some recommendations when you enter the repayment period:
- Submit the loan payment as soon as it is due each month for the full payment amount or even more. This should be done no matter whether you receive a monthly bill or not.
- Understand the pay off alternatives offered by your student loan lenders. One option allow you to decrease the loan by making larger monthly payments, and other option allow you reduce your initial monthly bills by making it easier to repay the loan early in your career.
- Contact your lender and inform them immediately of any change in your name or address; if you have questions about your college bill; making payments on time is a problem; loan deferment or forbearance might be needed to help you through a financial crisis.
- Make sure you clearly comprehend all mail you receive from your student loan lender and respond immediately when notified. For Further Information concerning your student loans, always remember that the financial-aid office at your school should be your first point of contact. Additionally, there are a number of publications from the Federal and state governments, lenders and college admissions office, libraries and your local bookstore.
Here’s to your success!
For me to admit that I am still paying off student loans this late in my life is a source of embarrassment. I refuse to reveal my age but believe me I am too old to still be paying off student loans. Oh, as I recall, President Obama and first lady Mitchell Obama paid off their student loans only a few years ago, so maybe I should not feel too bad. With that said, student loans are, and will continue to be an albatross around the necks of thousands of students and the numbers are growing each and every year. What can be done to waylay this dilemma? Unless you are born into a wealthy family, have parents who set up an annuity to cover the cost of your college education, brilliant enough to win a full scholarship, then student loans will be the way most students will have to go to complete his/her college education.
The loan will be even larger if the students choose to pursue a graduate degree or higher, thus adding to the cost that will have to be repaid. However, because you have to take out student loans to support your education, there is no reason why the loans should not be managed properly! So, student loans yes, inappropriate managing the loans is a definite no, no. Be sure to be frugal and find out the very best way to manage your student loans while still in college. There are ways to ward against the inevitable debt, make the best use of it.
Every car is much more than a four-wheeled automobile. It’s owner’s glory, passion and a source of great admiration. Yes, a car is not just a means of transportation. It’s America’s pride and its ultimate ecstasy.
When one sets out to buy a car, several things are to be considered. Most people have an idea of what car to buy. But, there is confusion and dilemma when the topic of car loans comes up. This article will give you a detailed understanding of the many auto financing options available with you.
Money Before Everything Else
It is so true. You cannot venture out for buying a car when you have no idea about your finances. If you think car loans are going to do everything for you, think again. You will have to manage down payment and also ensure regular payments. Car loans are just to provide ease in buying.
Finding that perfect car loan requires you to carefully put together all your income and expenses and then preparing your budget. You will have to consider your savings and choose something that will not give you financial trouble.
A Plenitude Of Options
Everything depends on getting the information that suits your situation. So, don’t settle for the first financing option you get. Don’t just stroll into your local dealer’s office or your neighborhood bank. You must first do a complete research and analyze your condition and needs.
To help you make a good choice, here’s all the information about car loan types. Check out all the advantages and disadvantages of every option. It will help you make a wise decision.
A car loan with a car from the same yard- seems too alluring to ignore!
Most Americans choose dealership financing because it offers a one-stop solution. Dealers offer loans for new as well as used cars. You must know that most dealers are link between you and the lender. Such dealers won’t themselves lend you money, instead will sell you loan application to lenders.
This option is convenient but make sure that dealer is not charging a high interest rate. For that, you must research and be wary of any red flags. Also, don’t opt for any add-on if you don’t feel their need. It will help you reduce the cost.
Banks and financial institutions offer loans for almost any purpose like buying a personal item or even a holiday trip. You can avail personal loans for buying your dream car. Now, this type of financing is useful when you need a loan for a smaller amount like $15,000.
This is another option for you. When you lease a car, you only pay for the cost of using it. The biggest advantage with leasing is that your monthly payments will be significantly lower than the usual car loan payments.
You don’t have to worry about down payment and the lease agreement will get over in two-three years. You always have the option of buying the car at the end of lease agreement.
When you go for lease financing, don’t forget to negotiate the car price. Most buyers think that one must pay the full sticker price which is wrong.
If you are one of those few lucky people who have sizable assets like a house, you can go for equity loans. You can avail a home equity loan by using your home as collateral.
Although the rates are lower and the interest is tax-deductible, there is the risk of losing your home.
Though it may sound unusual, but there are many who opt for this method. A credit card can help you buy a car for a smaller amount like $10,000. You must have a low-interest credit card. With large competition, getting a low-cost card won’t be a trouble for you.
The only thing is that you will have to restrict other purchases on your card. Also, most credit card companies charge a 3% processing fees. If you are sure of paying this charge to the dealer, go for it.
This is as popular as dealership financing, if not more. In this type of loan, your car is used as collateral against monthly payments.
It is very good option if you make regular payments. The only thing that you need to keep in mind is that you won’t be able to finance a car older than six/seven years.
Online Car Loans
This type is just the blend of car loans and the internet. With technological advancements, you can get everything on the net and car loans are no different. Online lending companies have a large network of lenders and dealers who bid for your application. All you need to do is fill a simple online application form.
As there is a wide network, getting a loan is relatively easy. Also, the convenience of availing a loan without moving out of the house is very tempting.
You should only be concerned about the company’s reliability. You can check the website’s safety by going through their security certificate. Don’t go for a company that charges for loan quotes because there are many reputable sites that offer free quotes.
How To Choose That Perfect Car Loan?
Once you decide on the type of car loan and apply, it’s time to scrutinize the loan quotes. Loan payments are important but it shouldn’t be the soul of your decision. There are several factors which are equally important. Before you rush to your decision, take a look at these variables.
Your loan term will have a huge impact on your loan. A longer loan term will mean that your monthly payments are smaller, but you may eventually be paying more interest rate. It is advisable that your term should be in accordance with the useful life of the car. Your loan should get over before the life of car to avoid the risk of an upside-down loan.
Interest depends on factors like the loan amount, loan term, credit score, financial condition, etc. One important tip to lower loan rates is by making a substantial down payment. This will reduce your loan amount and also instill a sense of faith in the lender.
The Annual Percentage Ratio will tell you about the total cost of the loan including all fees and charges. Most borrowers consider just monthly payments. But, it is impossible to compare different loan quotes with different loan terms. When you compare two loan quotes with the help of APR, you are taking into consideration all the variables.
You must compare loan quotes on the basis of the clauses in the loan agreements. Few lenders prohibit you from refinancing your car loan for the first few months. Some lenders also offer zero percent financing for the first few months only and then charge a floating interest rate. So, check for such clauses which may cause problem in the future.
Charges And Penalties
Check the loan contract for origination fees, annual charges, prepayment penalty and penalty for missing out on a payment. Choose a lender that has lesser fees and doesn’t charge you for making early re-payment. The latter will be useful if you decide to refinance your loan.
It is important to know whether you are supposed to make payments weekly or monthly. If you can afford monthly payment, don’t consider any other option. This is so because it will give you the choice of making regular payments without any undue financial restraints.
Once you compare quotes on these factors, you will definitely get a winner. Choosing your car loan by this method may take time but what matter is the ease in making payments. Every factor is important in making your life simpler and your car buying experience more pleasurable. So, memorize these important tips.
Owing a car is a dream for many, but one who takes a wise decision can fulfill it in true sense. Car loans won’t be a trouble if you consider your needs and financial condition. Remember a good decision comes with a thorough research process.
Founded in Alberta, in 2006, with the goal of reducing the hassle of obtaining fast cash payday loans, Blue Copper Capital has since expanded its operations into Edmonton and Vancouver, and now also offer personal loans as well as trade and apprenticeship loans.
Blue Copper’s Owner has Been There
Dave Chen, founder of Blue Copper Capital, has shared the same experiences as most of us when he needed a short-term cash infusion to help him over a financial hump. Because of this, Dave wanted to do something to make that process more human and understanding, and that is why he created Blue Copper Capital. Placing the emphasis on people ahead of profits was his goal from the very beginning and it is something he insists all of his employees demonstrate.
A Loan Company that Understands
Dave created Blue Copper Capital to take away the stigma and the hassle and the pressure of getting short term loans in Vancouver. Dave and his team are proud to have helped thousands of good people get back on their feet. His staff will happily meet at the time of your choosing and in your home – if that is what you wish – to take your loan application. Alternately, you can visit their Vancouver office or get an online cash advance by downloading and filling out a Credit Application Form directly from their website by simply clicking on one of the four loan category windows. A bad credit cash advance isn’t out of the question: with your proof of employment, up to $1,500 in cash is available instantly and without a credit check.
Loans for Emergencies, Vehicles and the Trades
Though Blue Copper Capital began as a payday loans company in Vernon, they now offer personal loans for everything from vacations to unexpected bills to cars and recreational vehicles. One area Dave and his team are really excited about is their Trades & Apprentice loan department. They know it can be difficult getting enough hours on the job while studying. Worrying about expenses for things like tools or a vehicle shouldn’t get in the way of your achieving your goals either.
Regardless of why you need a loan you can rest assured the people at Blue Copper Capital will treat you with the respect you deserve and will offer personalized fast cash solutions for your needs. If you live in the Vancouver area and need a loan to get you over the hump to next payday, or if you need money to buy tools so you can get back into the workforce, call Blue Copper Capital for prompt, friendly, professional and confidential service.
Blue Copper Capital – Real Loans For Real People
If you find yourself in a situation where you need a short term loan then here is a reputable company to look at.
The typical bread winner usually only makes enough money for basic support and a few extras here and there. There is a typical false impression of having to manage money within a tight budget in regards to living within your means. Nevertheless in a positive perspective, needing to manage money with a tight budget really highlights the good qualities that we humans have in order to exist in harmony with the demands of society. This requires self reflection, and to focus on the self requires thinking.
Tight Way Alternatives
A tight budget implies that we have the ability to determine what things are offered to us and also enables us to properly identify the things we need instead of what we want. In addition to that, we have the ability to think about advantages we get from selecting a better alternative than the one we desire.
The resources and most fundamental needs of any person are currently available in our society. Even as easy as the simple kitchen gadgets we need for the upkeep of our homes are marketed in various brand names. All we have to do is look closely at the fine print of each product and understand what we really need at this moment in time.
Tight Methods Equal Better Results
Deliberating on the hierarchy of things we need to be investing our money in develops our sense of responsibility. This duty ranges from the actual management of money for requirements instead of wants, and also applies to the selections that we make to manage everything. We also become adept at thinking about what we have to do at specific times. In this respect we learn to juggle and balance a complex money management system and practice internal discipline. Sometimes things do get out of hand and we need to borrow a little to squeak by. IN cases where an emergency arises or you are a short on the rent, then a short term loan can be the right thing. The only company we recommend in cases like this is Blue Copper Capital who are fair lenders. Check out their payday loans repayment schedule.
Personal Management Practice
The ability to practice proper money management helps develop effective ways of living without the extras. For example, a credit card can be used to buy things that are not typically accessible, or when an emergency happens. Still, having this power to use advanced “cash” in the form of a loan does not suggest that we should be using it for normal day to day purchases. Keep in mind that credit card purchases are on borrowed money and must be repaid. That is why occasionally a charge card is better left at home to minimize the chance of mishandling it due to a flippant thought that we will deal with it later.
Proactive Goal Setting
Human nature dictates that when we are provoked we fight back. This is normal and usually a typical response for something like handling cash for survival. When we are on a tight budget, we exist with limitations that restrict our liberty. A normal response would be that the individual finds ways to ease up a bit on limitations, one step at a time. This might be a preferable way of thinking by proactively setting goals.
A good strategy you could consider is to project years into the future and take a look at what you want and need. Set some short term and some long term goals, then do the math to start a savings plan. This could also consist of adding a bit more to your savings if your budget allows. Keep in mind that the way to handle cash with a tight budget is to look at it as a stepping stone to try to find greener pastures, not as an obstruction to your goals. Eventually you make more money, the pressure lessens and life improves.
Trial by fire is the best way to learn something and lock it down in your mind. Later on in life when things improve, you will remember the tougher lessons and act accordingly.