7 mistakes in family financial management

(Baonghean.vn) - Small mistakes in family spending are sometimes easy to overlook; however, if finances are not managed well, they will affect family happiness in the long run. Below are some financial management mistakes you should avoid.

1. Spend money "recklessly"

Women are often victims of what experts call “financial ambiguity.” That means you don’t know where your money is going.

“Controlling your money tightly may not make you rich quickly, but it makes you more proactive in life. You will be able to buy what you need at a predetermined time thanks to clearly calculating your expenses.”

2. Not recording expenses

Recording living and shopping expenses is absolutely necessary, but often overlooked by women.

Record those expenses in a small notebook to track your family budget and compare it with other months. From there, you can evaluate for yourself, see which expenses are necessary, which are not, and propose more reasonable spending measures.

3. Credit card abuse

Because they are compact and convenient for payment, credit cards are used by many people. And when using credit cards, users often forget that they are using borrowed money. Therefore, using credit cards to shop is one of the ways to quickly drain your budget.

Before going shopping, you should calculate in advance, only bring an amount of cash that does not exceed the estimated amount. Only use credit cards when really needed and try to use the amount that can be paid back to the bank within a month. This is also a way to protect the family budget.

4. Buy new items to replace old ones that still work well

It will not be a problem if your family budget is comfortable and always abundant; but for families with tight budgets or wanting to save a large amount for future plans, generosity in purchasing household items will cause a loss in family spending.

The best way is to list the things you need to buy according to a clear plan.

5. Influenced by sales tricks

Big companies always try to launch sales tricks and techniques to attract consumers to buy things that are not really necessary for their needs. Customer attraction tricks such as special promotions, "shocking" discounts, buy 2 get 1 free... can easily entice you to buy things that you may not even use.

It is best to ignore the sales pitches of salespeople, if the item is not on the family's shopping list.

6. Not checking the selling price

Usually women have the habit of shopping at familiar places, afraid to change new places because they have been attached to it for a while. But in reality, there are many companies, stores, and agents who often take advantage of customer loyalty to sell at higher prices than other places.

In the long run, if we take the time to research and check prices elsewhere, we can save a significant amount of money.

7. Forgetting to save for unexpected situations

Budgeting is not only useful for managing your expenses, but it can also help you build personal savings. As you budget for your fixed and variable expenses, don't forget to save. Think of your savings account as an expense in your budget...

This way, you will gradually build up a savings fund for unexpected situations.

In fact, the first stage of marriage is the best stage to save a budget for the future plans of the whole family.

Ngoc Anh

(Synthetic)