5 ways to manage money, not poor life
5 ways to manage money
1. Know Actual Revenue-Expenditure
• Write down all baht in and out
• Clearly separated "necessary" vs "extravagant"
• To see where the money is gone and adjust in time.
2. Divide money into piles from the beginning (formula 50/30/20 or adjusted).
• 50% = required expenses (eating, travel expenses, required debt)
• 30% = Lifestyle (Eat Play, Travel, Shop)
• 20% = savings + investment
3. Saving before using. Not remaining and then saving.
• Salary entry → Immediate transfer into account, i.e. 10-20%
• Do it automatically so you don't use it all.
4. Keep emergency money ready
• Create an emergency fund for 3-6 months of regular expenses
• Save against risk, not to recover from trouble
5. Make more income + invest to grow
• Earn Supplementary Income by Appointment (Online Selling, Free Lance, Part-Time Work)
• Some savings are invested (mutual funds, stocks, insurance, assets)
• Give money to work, not just to work.
📌 Tips to prevent until
• Do not indulge in emotional spending (buy because you want, but not necessary)
• Use big risk insurance (health, accidents, serious diseases) to prevent money from being collected
• Set short-medium-long goals such as buying a house, having retirement money