9 Smart Personal Finance Tips

9 Smart Personal Finance Tips

The key to reducing your debt is to reduce your expenses. It doesn’t matter how much you earn. What matters is how much you keep. By trimming your expenses, you’ll get to keep more, and debt will become a thing of the past. Here, you’ll discover 9 smart personal finance tips that will help you build your net worth and avoid financial pitfalls. Many of the tips will seem like common sense but are often not applied because people are emotional about money.

Study the tips below. Remember them and most importantly, make them a part of your life.

1. Pay your bills on time

Sounds straightforward, yet millions of people are late on their bills and end up paying late fees, penalties, added interest and so on. Paying your bills on time will not only save you money and give you confidence and self-respect, but you’ll get peace of mind knowing that creditors are not going to hound you.

2. Watch your expenses

Yet again, more common-sense advice that’s easily forgotten. Watch your expenses like a hawk. If you can’t afford to pay for a purchase with cash, do NOT put it on a credit card. If you do use a credit card, always pay the bill in full every month.

Do not have an outstanding balance and just pay the minimum sum on it. It’s very easy for your credit card debt to get out of control since you will have the amount you paid on credit and on top of it the interest on overdue payment.

3. Buy in bulk

It’s always cheaper to buy items wholesale and in bulk. Places like Costco are perfect for buying items at a low price. It may seem like you’re spending more by buying in bulk, but you’ll actually be saving in the long run.

Items like toilet paper, soap, etc. are household items that you’ll use daily throughout the year. Buy them in bulk and you won’t have to keep buying them and paying more. Avoid buying bulk items that have a use-by date. By the time you try to exhaust your stock, your stock may have reached the use-by date. You have to be cautious and wise when purchasing these items in bulk.

4. Pay your takes

Like Jesus said, “Render to Caesar the things that are Caesar’s” … and no matter how much you debate about whether taxes are fair, the government wants its money and it will get it by any means.

Pay your taxes on time so that you can avoid penalties and other legal implications that can arise from the long arm of the law.

5. Get insured

You’ll need insurance for your car, home, health and so on. We live in a highly litigious society these days. If someone gets hurt in your home or by your car, you may find yourself facing a lawsuit. Being insured will help you to offset the costs.

The same applies to health insurance that seems like a monumental waste of money until you need it. Never underestimate how important insurance is.

6. Negotiate where possible

It doesn’t matter if you’re about to rent a place or buy a home or purchase a car or make any financial decision. If you can negotiate, always ask for a lower price. If you don’t ask, you don’t get. You’d be amazed by how much you can save just by asking. You can negotiate the price for most services as well such as insurance, gas, electricity or alarm monitoring service.

7. Write down your expenses

For at least one month, write down all your expenses daily down to the last cent. This will give you an idea of just where your money is going. It’s a fantastic exercise for developing self-awareness of your spending habits.

Knowing how you spend and where the chunk of your money goes will not only help you to balance your budget better, but you’ll be able to trim away unnecessary expenses.

8. Save a portion of all you earn

No list would be complete without mentioning that you should save FIRST, before spending. Some books will tell you to save 10 percent while others will give you savings formulas.

The amount you save is not as important as the habit itself. You want to cultivate the habit of saving. Over time, you’ll have a sum of money that you know you can always fall back on.

9. Getting extra income

You can do surveys and enter competitions in order to add some cash to your pocket. There are many surveys available where you would be able to complete from the comfort of your home. This you can do during your leisure which won’t take much of your time. What you get from surveys you could use it for your grocery or any other purchases.

Finally, Just this knowledge alone will give you more confidence and elevate you from a position of financial desperation to one where you’re relatively safe. This mindset shift will allow you to focus on earning more and increasing your net worth.

Apply the above 9 Smart Personal Finance Tips and be money-smart in a debt-filled world.

Disclaimer: This website is written by a regular human. I am not a Financial Professional. Please get professional advice for your specific financial needs.




I am a wife and a mum of two teenage boys living an extremely busy life as I do have a full-time ministry running. In December 2019, I started this Website and Etsy Shop – Goodness and Favour. I started slowly but I love making wall art and printables, and it is now becoming full time work along with my ministry.

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