Even if you have more than enough income to cover your outgoings, you might end up with missed payments and you’ll find it very difficult to save for things like holidays or a deposit on your next house. Streamlining your finances can help ensure you meet all of your financial obligations while also giving you a clearer picture of your current financial state.
Use A Digital Wallet
Digital wallets have progressed, and many of them offer the same or more features than typical bank accounts. These cash app casinos reviewed by Business2Community, for example, enable players to deposit and withdraw funds from a Cash App account.
According to casino expert Sergio Zammit, Cash App has 55 million monthly users thanks to its extensive features, which enable more than fast deposits on a wide range of casino games. Digital wallets are secure, and enable you to pay online quickly, and some offer cash cards and even the facility to buy and hold Bitcoin.
Tackle Your Debt
The less debt you have, the less interest and fees you’re subjected to. Rather than saving money in low-interest accounts, consider paying off your credit card. You will likely save more money than you would make through investment. Look at your other debt accounts and see if there are any that you can pay off or that you can minimize to reduce your monthly repayments. And once you’ve paid off debts, you won’t have to make any repayments against them, which also helps streamline your monthly finances.
Combine Debt You Can’t Pay Off
If you have a lot of small debts, you’re likely to have to meet minimum repayments, and it can be difficult to keep track of exactly how much you have to pay, and to whom. Consolidating debts can be beneficial, although you will need to check the terms, and repayment values, and ensure that you don’t end up owing more money just to consolidate. You can find specialist loans and financial products to consolidate debts, but some credit cards and personal loans make good alternatives.
Consolidate Your Accounts
Similarly, you can consolidate your own bank and other financial accounts into one or two accounts. Look for a bank account or banking app that lets you buy and sell shares, or that enables you to hold foreign currency, depending on your investment portfolio.
Choose a digital wallet that doubles up as a Bitcoin or crypto wallet. Although some people find it easier to budget using multiple bank accounts, it can be a lot easier to track your money and manage your finances if everything is kept in one place because you won’t need to add up balances or move money between accounts and potentially miss payments from different accounts.
Automate Payments
Once you have a single account and your incoming money is paid automatically into that account, it makes it much easier to meet your monthly payments. Use direct debits and standing orders to automatically make payments every month, ideally as soon after your regular incoming payments are made. If your outgoings leave your account straight after you receive your salary, you know that whatever is left is money you can spend or you can use to boost your savings, pay off debts, or for anything else you need.
Automate Savings
There are various saving strategies and techniques espoused by financial experts. Generally, the amount you can save is ultimately determined by the size of your income and the cost of your outgoings, but most experts recommend having at least three months of salary saved while also putting aside 20% of your net salary to save.
Experts also advise that people diversify their investments and savings. You can set up accounts so that a predetermined amount of money is moved to savings accounts, while some digital wallets and crypto wallets even enable the automatic purchase of assets every month. Set these automatic savings up so they occur just after your income and payments are automatically paid. You won’t miss the money as much as if it happens just before payday.
Conclusion
Streamlining your finances means taking steps to remove any unnecessary payments while combining accounts and automating your income, outgoings, and payments. Doing this makes it easier to budget and helps ensure you don’t miss any essential payments. Streamlining is a critical step in reliable budgeting, and it is a good idea to revisit your finances every few months just to check there are no areas where you can make further improvements.
