As you move up the role in your job, money starts to flow in. And as a recent graduate, you get crazy seeing a lot of money. Your first instinct is to buy things which you always wanted to buy.
But now that you are an adult, you are supposed to contribute to the home. You are responsible for putting food on the table, paying the bills.
You feel empowered.
But when you are done paying for all the things you need, there seems hardly any money left.
It feels sad.
So you work hard to bring in results in hope that you might get promoted or get a raise. And you get it – but it isn’t up to your expectation. All the calculations you did thinking ‘X’ amount of money went in vain. You are frustrated on what to do – and there seems no simple solution.
A Big Raise
It has happened – you got a big raise in money. But most of it is spent on the luxury items you wanted to buy. And so the number of bills has gone up.
You are in a similar boat as before but now you have a bigger salary and big bills. Still, a fine place to be than you were previously.
But then you get a message on your phone.
Your bank has deducted an annual fee for the card and banking charges. Which had been sold to you as a special offer with no charges. You call the bank and they deny of any such commitment – they ask for things in writing.
Of course, you don’t have them. You hang up the call in anger. You check the date and still, there are 5 days for a salary.
And every money which you have is tied to some bills which need to be paid. You have to cut something in order to pay the bank’s charges.
It’s natural to spend more when you earn more. But that won’t prepare you for the unexpected money surprises. Here is a simple way which is an effective way of living with your money –
- Try to earn more
- Save first enough for at least 3 months of expenses
- Invest a specified amount each month
- And then you decide a way of living on your remaining money
By doing this, you will be prepared for unexpected money surprises. And you can live your life guilt free. Because you have taken care of common problems which might arise.