| Whether you know it or not, you are always | | | | the next step. |
| setting your financial priorities. Some may | | | | |
| decide that a new stereo system is more | | | | And Now? Naturally, this would be your other |
| important than this month's electric bill. | | | | bills. You can even split this category a |
| This may be a little off the wall but it is | | | | little further. |
| still setting your priorities. | | | | |
| | | | First, you have your bills that are secured |
| Anyone wanting to better manage their money | | | | by property. You should always pay these |
| would be wise to determine what their | | | | bills first. |
| financial priorities are and stick to them. | | | | |
| Of course, if you see that these priorities | | | | Secondly, your unsecured bills which are |
| will not put food on the table and pay your | | | | probably credit cards. |
| bills then you will have to rethink your | | | | |
| priorities. | | | | The reason you should always pay your secured |
| | | | bills first is that it is much more likely |
| Setting your priorities is simple. You just | | | | that they can take the secured property and |
| decide what is the most important aspect of | | | | probably will unless payment is made. While |
| your finances and put that item on top. | | | | credit cards companies are notorious for |
| However, if you decide on that stereo over | | | | their threats, they very seldom follow |
| your electric bill, you may find yourself in | | | | through. I'm not saying not to pay them, just |
| the dark with no need for a stereo. | | | | that they aren't as high a priority as your |
| | | | secured bills. |
| There are basic priorities that pertains to | | | | |
| everyone. These are simply a matter of | | | | Next would be your savings. I really to hate |
| survival. Here is a list of the basics: | | | | to list savings as your last priority because |
| | | | having a savings can prevent the use of those |
| Water | | | | dreaded credit cards and help in so many |
| | | | ways. If you have the money to cover all of |
| Food | | | | your other priorities then you should always |
| | | | put savings at the top of the list. However, |
| Shelter | | | | if you don't have enough money to cover your |
| | | | bills and expenses then your savings will |
| That was a tough one. | | | | have to be the first to go. |
| | | | |
| What does it take to ensure that our basic | | | | Just to recap. The below list is an example |
| needs are met? The main ingredient is a | | | | of what your financial priorities should look |
| source of income to pay the rent or house | | | | like: |
| payment, pay the utilities, and buy the | | | | |
| groceries. This is where you start setting | | | | 1. Groceries and Necessary Health Items |
| your priorities. | | | | |
| | | | 2. Housing (Rent or House Payment) |
| Before you can spend another penny, you have | | | | |
| to take care of what you need to survive. | | | | 3. Utilities |
| Don't put off the rent or house payment, | | | | |
| utilities and don't skimp on your groceries | | | | 4. Transportation |
| and necessary health items. If you do you | | | | |
| will start experiencing money problems much | | | | 5. Secured Bills |
| sooner than you would if you had delayed | | | | |
| paying other bills instead. | | | | 6. Unsecured Bills |
| | | | |
| What's next? If your source of income happens | | | | 7. Savings |
| to come from a job, then I would say your | | | | |
| transportation. You have to get back and | | | | Let's hope that you never get in the position |
| forth to work so you can afford all of the | | | | to have to decide which of the above list |
| other stuff. This would include your vehicle | | | | will have to wait. But if you do, following |
| payment, gas, insurance and maintenance. If | | | | the above priorities is absolutely necessary |
| your source of income is not a job then go to | | | | to ensure your survival. |