Nowadays, it’s highly recommended that you save your money from your incomes and spend smartly on yourself, if you want to live happily and follow a controlled lifestyle. Being financially stable means that you are in charge of your own life.

Here are top 5 smart tips which can boost your finances if you follow it regularly.

1.Plan your money
It’s an important. Planning a money, is nothing but creating a budget for yourself. Plan your income according to your choices and you can save a lot of money from it. If your expenses are high on entertainment and eating out, which are difficult to track, this planning of money will help you a lot. Planning your own money makes you disciplined about spending your money.

2.Saving is must
Always remember that subtracting saving from your total income is the amount your going to spend. Hence, once you get your salary, it is important to save it for retirement or any emergency chores. You can open a separate bank account and transfer your money to that account so that you can save for your future plannings.

3.Emergency fund
If any emergency comes, you fall ill or you lose your job, you wouldn’t have any choice but to take help form your saving account. Maintaining a good emergency fund is required as calamities don’t come after informing. You need to prepare for it.

4.Debt Control
It’s a fact that we all go into heavy debts as we reach the middle of our careers. But many a times are debt get out of our control and continues to grow. It is important to control your debt. Always keep your EMIs within 25-30 percent of your net income so that you can ensure the comfortable cash flow.

5.Review the previous year
Reviewing your expenditure as well as all your financial data for the previous year would help you in getting to know whats did you missed in the previous year? Where did you make mistakes? Were your investments on track? This also helps in taking important steps to nullify mistakes in the next year.

By Prajakt K.