How should a typical office worker manage his/her finance?
There are mainly 2 concerns of a
typical office worker.
1. How
to plan their own income correctly and reasonably
2. How
to better manage their finances
Office workers can basically be
divided into two types: "Busy but poor people" and "Moonlight
Clan". "Busy but poor people" are generally too busy at work and
have no time to manage money. They can only let their assets shrink little by
little in this era of low interest rates, but they can't do anything about it.
As the name suggests, the monthly salary of the "Moonlight Clan" is
just enough for their own expenses, there is no spare money for financial
management, and they cannot save much money.
So how should office workers manage
their finances?
01
Reduce
Debt
Office workers should reduce
their debts, and having contingency sum is vital. The simplest way to reduce
debt is to improve their net worth. The main liabilities of office workers
include housing loans, car loans, credit cards, and consumer loans. Basically,
the level of debt that an individual or family can bear should be the remaining
disposable income after deducting the monthly fixed expenses and savings
requirements.
02
Reduce
Expenditure
It is difficult to have more
income since promotion or pay raise does not come easy, then they should
consume in a planned way and start with "cutting expenditure."
Choosing the right time for shopping, buying only the essentials, and avoiding
over-swiping credit cards and borrowing money are all things that office
workers can control. At the same time, develop a good habit of keeping
accounts, check your income and expenditure regularly, and avoid spending
aimlessly.
03
Resist
Temptation
In the new age, some people will
say that it is most important to have fun now, since no one can control the
future. But contrary, there are more things worth exploring and experiencing in
life. In order to be truly happy, you must be frugal, control your own
expenses, and focus on fulfilling your life dream.
04
Forced
Savings
Office workers should develop
the habit of forced savings. The first step of financial management for office
workers is to save first. You must first save a sum of money as the capital of
investment, and then talk about accelerating the accumulation of assets.
05
Active
Investing
Banks’ fixed deposit interest
rates have also been lowered frequently. Office workers in the era should pay
more attention to investment, consider the rate of return according to their
own needs and risk tolerance, and choose a relatively safe and secure platform.
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