How to control personal finances so you don't get in the red

to know how control personal finances so as not to be in the red you need to know how to adapt your life to your income. Many people get into debt because they spend more than they can on non-essentials.

See that “essential” are those expenses directly linked to your survival as a human being (eg housing, food, health, etc). As primitive as it may sound, it is necessary to make this distinction. Bearing in mind the capitalist society we live in, we often throw money away with futile things that we think are necessary.

Organization and planning are the first steps to controlling your budget. Put your monthly income on paper and then your essential expenses—study your needs well in order to put only the essentials in this step.

Then allocate part of what's left to make an investment. Even if your monthly income is not much, the important thing is to make a continuous investment so that you have good results in the long term. Investing is an essential part of how to control personal finances so as not to be in the red.

Now yes, you can decide how to use the rest of your income. With a calendar, plan your activities and expenses: a family outing, a party with friends, a new outfit... Also, reserve a part for emergencies and spontaneous events.

You are responsible for creating the life you want. This often involves weighing options and making decisions. That is, among the most diverse possibilities of spending your money, you need to choose what is most important to you and your family.

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People often say that money does not buy happiness. But if you know how to use it to your advantage, money can be a great tool for achieving the life you dream of. Knowing how to control personal finances so you don't stay in the red is a good start.