Money doesn't grow on trees. After working hard to earn it, be careful about how you spend your money.
Your parents and grandparents didn’t have an app for tracking their income, sticking to a budget or saving money. They couldn’t Google the latest stock quotes or use an online calculator to assess their risk tolerance. Instead, they had folksy sayings that helped keep their finances on track.
Let’s see whether those adages hold up today:
- Pay yourself first. This is another way to say stash some money away out of every paycheck—before you pay the monthly bills. This tried-and-true concept is as sure a way to increase your financial security as it ever was. Only now it’s easier than ever, because with Direct Deposit, you can arrange to have a portion of your pay sent straight to your savings account before you even see it. Learn more about how you can start saving.
- A fool and his money are soon parted. It’s just as important to be smart about money now as it was when people first started saying this. Financial decisions you make today are important and can affect your quality of life well into the future. The more you learn about managing money, the better equipped you’ll be to make good choices.
- Save for a rainy day. Most people aren’t as prepared as they ought to be for financial setbacks. And, as another saying goes, into each life, some rain must fall. You never know when a financial storm will strike or how severe it will be, but saving ahead of time can help provide a quick recovery. Learn about various savings strategies.
- Don’t put all your eggs in one basket. When you’re investing money, this timeless piece of advice is exactly what you need to create a well-balanced portfolio that can withstand the ups and downs of the market. Learn more about how you can balance risk and reward in your portfolio with Navy Federal Financial Group.
- Waste not, want not. When you use your resources wisely, you’re less likely to suffer financial hardship. Creating a budget can help you prevent wasteful spending and ensure that you’re devoting your money to the priorities that are most important to you.
- Neither a borrower nor a lender be. William Shakespeare wrote this about borrowing from or lending to a friend. It remains sound advice when dealing with friends and family. It often puts a strain on a relationship when one party owes the other money. And, it gets particularly thorny if the borrower is unable to repay the loan. In most cases, you’re better off borrowing from a reputable financial institution like Navy Federal. We can help you learn more about borrowing wisely.