Each month we are bombarded with bills in our inbox, smartphone, or mail. And as with anything, without having a sound system in place, we can easily be overwhelmed. If your bills have gotten the best of you, here are few steps to help manage your monthly bills.
The true way to conquer finances is first to get a handle on it all. How can you be victorious in this area if you simply do not know whom you owe, how much is coming in and how much is going out?
Create a system
Having a system for your bills is key. A great idea is to pay your bills according to your pay schedule. For example, if you are paid on the 1st and 15th, you may want to pay your bills on the same dates. Let’s say for instance a bill is due on the seventh. Paying this bill on the first will eliminate the possibility of late fees and give you peace of mind knowing this bill has been paid.
Establish a financial home
For each financial document that comes into your possession, create a place for it. This may require setting up file folders for tax expenses, bank statements, insurance, monthly bills and other financial documents that you may encounter. This way, if you are in need of a document for tax or insurance purpose or simply need to verify income for a loan request, these items can be easily accessible to help you in your financial journey.
Prepare a bill calendar or go auto
It doesn’t matter where or how, but writing your bills and due dates somewhere visible can help you better manage your bills. Consider using a bill calendar or checklist to really get a handle on your bills. Additionally, it may also be a great idea to set up auto payments for recurring bills to ensure your payments are made timely.
Remember: your choice, your future!
Kemberley Washington is a professor at Dillard University and certified public accountant. Follow her on Twitter with her FaceBook.