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Pennon Partners Shares Habits of People Who Are Serious About Getting Their Finances in Order

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It’s great to have habits that are conducive to saving money. Most times, people mean well and may even save. Many times, it fails. Not because all people love to spend money, some do, but the vast majority have to dip into savings.

Why? In short, they had no business saving. Meaning, they saved too much at one time and then didn’t budget what they would need for a living. That’s why a financial adviser like can help. Companies like Penton Partners, is a good example of how people can turn around their finances with professional help.

The first tip will cover this and the remaining tips will show you in logical order what people that are serious about getting their finances in order will do.

Black and White Budget:

With an emphasis on ‘Black and White’ serious people create a workable budget and stick to it. This is in plain terms what that looks like:

Bank in Separate Account the Main Expenses First:

That means the basic needs. Your home, your utilities, your food, your clothing, transportation. Conveyance is still important even if you work from home. We don’t care if you only leave the house once a week or less and have everything you need to be delivered to you.

You still need a budget because when your routine changes, you won’t have to dip into another part of your budget. Some people also keep their mortgage payments in an account separate from other accounts.

Bank the next most important expenses in another account:

Health insurance for you and all dependents. An emergency fund for cars in the family and home repairs. Make sure you have the whole family covered with at least major medical. It may be expensive but an uninsured emergency can cost you everything.

Take advantage of as many special programs and work benefits as you can. Have an emergency fund of at least $500 per car. If you can carpool or get away with a one-car family, then do that. If your child is 21 or over and is working, make sure they’re paying for their own car insurance.

Don’t live on your bonuses and don’t spend more when you make more.

This sounds like common sense but most people don’t think this way. If you get a $1,000 bonus most if not all of that needs saving. A bonus is an unexpected money. A raise is a more stable thing. The total net income is added to the new salary total and the budget is reworked.

Be Conscious of your Habits

People who become successful will be aware of and honest about bad spending habits. They see them as traps and they do what they have to to get rid of them.

Whatever you do, whether you are eating out, clubbing, drinking or shopping, you’ve got to have a stable amount to spend that does not change. You can hike it up as long as it does not affect your main or secondary expense budget.

If you need someone you trust to hold you accountable for your spending then go for it.

Run your Credit Score

A financially intelligent person will always know their credit score. Try to make arrangements with at least one card and or the debt with the highest interest first. Get alerts from a credible credit tracking app and question anything wrong. That includes misspelled names and addresses that are incorrect.

You should scrutinize it every 3 to 6 months while you are paying off debt or if you are clean and your credit score is high. You are more vulnerable to identity theft at that point and need to place a fraud alert on your report. That means companies have to call you on a specified number to make sure it’s you prior to opening new accounts in your name.

Know what goals you have

If you’ve got big plans in the next 3 to 5 years then you may want to get a savings account that is especially for that. Getting married, having kids, big-ticket purchases and dream vacations are all planned in advance and the funds are kept separate from anything else. Even other types of savings.

Become a master negotiator

This is a habit that takes constant practice because we aren’t all that confident. If you have a great job, you’ll have a chance to grow your paycheck when you negotiate well. When we have great credit, we get to negotiate the big-ticket item too.

Consistently Research

Good financial habits come from thorough research. Before you go into any investments or even join a bank, do your financial due diligence. Dig around and ask questions. Talk to a financial adviser like Pennon Partners before doing anything. It’s good to have a guide.

Find a Trusted Money Mentor

Consulting a mentor doesn’t mean a professional. This can be a friend or family member that is spot-on wonderful with money. Observe them. Pick their brain and ask questions!

Use Primarily Cash

Put away the credit cards for emergencies only or for a special something. Use cash the majority of the time. This will instill good spending habits. You can still build credit with the special something here and there. Or, you can get a gas card. Some kind of specialty card that is restricted to a certain type of purchase.

Get that student debt down

Financially smart people will understand that student debt is a killer. It can be an enemy that you can’t rub out with bankruptcy. So, to make arrangements and get that cleared up is a priority.

With experience as a full-time environmentalist and part time journalist, Lisa heads the post of editor at California Herald. She covers all the significant proceedings in the world of Environment while editing all the news pieces posted over the website to ensure everything aligns with the journalistic format.

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