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One of the biggest mistakes you can make in money management is not where your money goes. Approximately 90% of people who come to see me do not know exactly how they spend their money. Some may have small notebooks in which they scrawl their bills every month, but when they start to put everything on paper, they are always surprised, if not shocked to see the real state of their finances. As obvious as it may seem, most people do not know their finances. It is always the hardest part of managing the money because, invariably, it is often when they realize they spend more than they earn. Money matters simply scare people. They are terrified to know beyond the control of their finances are. Yet this is precisely what must be done before you can start working on a solution. Planning and goal setting are critical to your success if you want to become financially secure. The two essential traits of people who do not realize this are, firstly, they tend to spend all the money they have and, secondly, they do not know what they spend their money. The lack of planning and goal setting is the main culprit. This is often referred to as “spending unconsciously. Unconscious spending is more prevalent in our society than we realize. The reason why people go without giving it much thought, is that they have no targets. Without goals, you are living unconsciously at every moment, you never plan ahead, you spend all your money, and, therefore, you’re probably never become rich. All good companies manage their operations planning and budgeting. They have benchmarks that they compare their budget and profit and loss results. major expenditures such as salaries, rent and advertising, are calculated as a percentage of sales and operating performance is analyzed in terms of percentages. There is no reason why you should not manage your personal finances this way. The glue that binds all the practices of commercial success and the main budget. It ties in all facets of business: marketing, sales, financing, research and development, and personnel management. Without a good master budget that includes all activities of an enterprise, an organization will eventually flounder. And a company flounders Seldom. The budget provides cohesion between the differing objectives of various parts of the company and creates a common goal for the total organization of work. It improves motivation, delegates responsibility and provides important feedback on the progress of individuals and the organization as a whole. Not bad for a simple system - that we all thought that someone installed to punish us for our sins. Budgets are not a punishment. They are important, useful tools to guide us to where we want to go. They allow us to plan our future still control our situation along the path. They are not intended to be accurate, but rather flexible and accommodating. They should change when we change, while being flexible enough to keep us from derailing. They point us in the right direction and correct us when we fail. Without a budget for our finances, we are trying to win the dash 100 yards blindfolded. In fact, if you use the same principles and apply them to your personal finances that you are well on track to achieve financial independence. While it is important to be relaxed and carefree with your financial matters, this does not mean careless. You become careless of money when you know that this is not a scarce resource, you define your financial goals, you invest a little time on a regular basis to plan and review your finances and you systematically set aside a portion of your earnings regularly to build your savings and investments for the future. You are careless with money when you do not keep track of what you spend and waste money on things that are unnecessary, extravagant and not necessary. Financial management is to build a solid financial base that can not be broken regardless of what you might be facing in the future. Unfortunately, the solid foundation to take a little time to build. For those who want to gain instant and instant cures, their impatience is often the cause of their turbulent finances. If you’re tired of worrying about money, the time has come for change. Take some time and start thinking about what you really want. Develop a plan, follow a budget and be prepared to give him time to allow your money to grow.

One of the biggest mistakes you can make in managing money is not where your money goes. About 90% of people who come to see me do not know exactly how they spend their money. May have some small notebooks in which they scribbled their accounts each month, but when they start to put everything on paper, they are always surprised, if not shocked to see the real state of their finances. As obvious as it sounds, most people simply do not know their finances. It is always the most difficult to manage money because, invariably, it is often when they realize they spend more than they earn. Money matters simply scare people. They are terrified of how out of control of their finances are. Yet that is precisely what must be done before you can start working on a solution. Planning and goal setting are critical to your success if you want to become financially secure. The two essential traits of people who do not realize this are, firstly, they tend to spend all the money they have and, secondly, they know not what they spend their money. The lack of planning and setting goals is the main culprit. This is often referred to as “spending unconsciously. Unconscious spending is more prevalent in our society than we realize. The reason why people go without giving it much thought, that they have no targets. Without goals, you live unconsciously from moment to moment, you never plan for the future, you spend all your money, and therefore you have little chance of becoming richer. All good companies manage their operations through planning and budgeting. They have their budget benchmarks and compare their profit and loss results. Main items of expenditure such as salaries, rent and advertising, are calculated as a percentage of sales and operating performance is analyzed based on these percentages. There is no reason why you should not manage your finances this way. The glue that holds all the business practices of success together, the main budget. It ties in all facets of the company: marketing, sales, finance, research and development and personnel management. Without a good master budget that incorporates all activities of a company, organization eventually floundered. And business is floundering rarely profitable. The budget provides cohesion between the differing objectives of various parts of the company and creates a unified objective for any organization to achieve. It strengthens the motivation, the responsibility of delegates and provides important information on the progress of individuals and the organization as a whole. Not bad for a simple system - that we all thought that someone installed to punish us for our mistakes. Budgets are not a punishment. They are important, useful tools that guide us where we want to go. They allow us to plan our future still control our situation along the road. They are not intended to be accurate, but rather flexible and accommodating. They should change when we change, while remaining resilient enough to keep us from going adrift. They show us the right direction and correct us when we fail. Without a budget our finances, we are trying to win the 100 meter sprint blindfolded. In fact, if you use the same principles and apply them to your personal finances you are on track to achieve financial independence. While it is important to become relaxed and carefree with your financial matters, this does not mean careless. You become carefree with money when you know that this is not a scarce resource, you define your financial goals, you invest a little time on a regular basis to plan and review your finances and you always put aside part of your regular pay to build your savings and investments for the future. You are careless with money when you do not keep track of what you spend money and wasting things that are unnecessary, extravagant and unnecessary. Money Management is building a solid financial base that can not be broken regardless of what you may face in the future. Unfortunately, the solid foundation to take a little time to build. For those who want to gain instant and instant cures, their impatience is often the cause of their turbulent finances. If you’re tired of worrying about money, now is the time to change. Take time out and start thinking about what you really want. Develop a plan, follow a budget and be prepared to give time to allow your money to grow.