Getting Financially Organized - What To Do

In order to achieve a healthy financial life, our credit counseling advice is to start getting financially organized. Living a healthy financial life starts with good organization and a solid budget. It is important that consumers keep track of their expenses, bills, and accounts so they don’t end up with crippling late and overdraft fees or excessive consumer debt.

Follow ACCC’s tips for getting financially organized.

Tips for Getting Financially Organized

Create a budget – A budget is the foundation of financial planning. It shows consumers exactly how much money they have and where they spend it. A budget also has the ability to help find ways to save money. A budgeting worksheet can help you customize your spending plan.
Revise the budget – Bills can often change month to month. Therefore, it is important that you revisit their budget once a month and revise it if necessary.
Create a filing system – It is important to have a place for bills whether they come electronically or in the mail. Create a folder for each type of bills such as medical, insurance, utilities, or credit card. This way, you can keep track of these payments and avoid too much debt.
Create a checklist – Creating a checklist helps keep track of what’s pending and what you are yet to receive. The best way to avoid undue debt is to pay bills as when you receive them.
Limit number of credit cards – Having several credit cards can often lead to overspending. Consumers should try to limit themselves to one or two cards. It is important that these cards are paid off in full each month. This is a good strategy to eliminate credit card debt.
Consider automated payments – Automated payments ensure that a bill is never late. However, consumers need to be careful and keep enough money in their account to avoid overdraft fees due to automatic payment dispersing.