Tuesday, February 12, 2013

Money Management Tips

NEED is something that is necessary for organisms to live a healthy life (wikipedia),  also it is  physiological or psychological requirement for the well-being of an organism (Merriam Webster Dictionary).
WANT is simply something that a person would like to have (wikipedia), also to have a strong desire for  (Merriam Webster Dictionary).

Today, it is very crucial to know if one thing is a need or a want. What you want may not be necessarily what you need and what you don't want maybe the one thing that you really need the most. For example, a cellphone may be a basic need for communication but a very expensive high end cellphone is just another leisure that you think you need to have.

Sometimes we are confuse as to what we really need and what we need to have. It is not a bad thing to get something what we want because it helps us a lot, it keeps us relaxed, motivated, hopeful and it makes life enjoyable. But sometimes we get to be dependent on always getting the things we want because we think we need it in order to survive. We sometimes forget and neglect that there are other far more important things that we should first attend to. Impulsiveness hurts us, especially our pockets, our savings, our future investments.

think before buying
A wise friend told me that before buying a thing, we should always ask these questions to ourselves:

1. Can I afford it?
2. Do I really need it?
3. Do I already have that same kind of thing?
4. Will this improve my life?

These question will help you determine if it is a need or just a want. Another trick that can save you from impulsive buying is that; hold it off until a certain time, give it 1 week or more, If you still crave for it, then get it.

What we really need to do is live today and work for tomorrow at the same time in order to survive. Indulging in expensive things,gadgets is not bad but spending beyond our paycheck is not improve our lifestyle. If we have contentment then we can be absolutely happy living this life. But don't forget to sometimes indulge but with limitation of course, good planning and wise decision making will encourage a debt-free lifestyle.