In the spirit of the pinnacle of college basketball season, I’ve compiled a few tips that we can try to incorporate in our spending behavior so we can save in the long run! Get in on the madness…give them a try.
Selection Sunday and Monday has past and now let the madness begin! 64 teams prepare to take on their respected opponent in hopes to move on and reach the summit of college basketball and be crowned “National Champions.” In most cases sports have the most clichés to draw upon and to tie in sports and finances, I’m going to incorporate the “5 P’s”: Proper Preparation Prevents Poor Performance. Right now every coach in the nation that has a team that’s participating in postseason play are emphasizing on this and as consumers we can apply these principles to our lives and make us better with our finances.
So in the spirit of March madness, I came up with the “3 P’s” of finances and they are:
Let’s start with the first:
Plan. A plan of action is always a good start. Having a blueprint of how you want to save is vital. The blueprint is going to be your budget. Now when creating the budget, be realistic about your goals. Make your goals attainable and build upon them for benchmarks. Keep your eye focused on a goal and where you want to be financially in 5, 10, or 15 years from now.
Pay is as simple as its is. I would suggest starting with paying the lower debts off first so you can concentrate on the larger ones. Also pay yourself! Take 10% of your earnings and pay yourself. Put it in a money market account or an account that can’t be easily accessed.
Last but not least, be patient. Reducing or eliminating debt on your own is a long process. Depending on the method you use, you may see no significant progress at first but progress will appear in due time.