Getting started with finances is a lot like doing your spring cleaning. You put it off and put it off until things get so cluttered that you feel like you are going to loose your mind. Instead of coming to the end of your rope before you tackle your finances, why not start today.
Step One
Before you can understand how to wrangle in your finances you have to know where your money is going. The best way to do that is to write it all down. Keep a small note book and write out every purchase you make – from the new computer or new cloths to the piece of gum from the quarter machine.
This process works best if you carry it out over an entire month, but if you are in a hurry (because of a financial crunch) then keep up with your expenses for a week and estimate them out for the month.
After you have your spending accounted for you will need to break it down into categories. This is strictly a personal endeavor, but categories like entertainment, gas, clothing, medical, clothing, should help you to get started.
Now that you know WHERE your money is going when you deposit each paycheck it is time to figure out how to stop the flow and keep it in the bank instead.
Step two will be the beginning of having more money for the rest of your life.