Smart money habits can be achieved by taking just a few small steps. There are several books and magazines containing the secrets to financial success, but really there is no secret at all. Smart money habits start with you and anyone can do it!

 

Pay Attention

Swiping a debit or credit card has become very easy. It’s convenient and saves time. However, the burden comes for those who do not track their spending habits. Several tools exist to help manage spending. Online banking with Knoxville TVA Employees Credit Union provides Members with immediate access to account balances and transaction history to aid in managing spending. It doesn’t stop there! Tracking spending is key to staying ahead of the game. Spend wisely to establish smart money habits.

 

Start Small

Too often, people declare saving is hard or make statements like “I don’t make enough money to save.”  However, while the ways to spend continually increase, making a decision to save must also increase.  One of the easiest ways to save is placing a certain amount of each paycheck into a separate savings account.  Sometimes people keep all their money in their checking for easy accessibility. However, with online banking, transferring money is fast and simple. Creating a separate account allows separate spending and saving money. It serves as an out-of-sight-out-of-mind concept. If it is not in checking, I can’t spend it. Start small. Saving $5.00 or $10.00 of every paycheck will quickly add up and before you know it, you’ll have a savings fund.

 

Strategic Planning

Today, it seems like everyone has their own method of becoming debt-free. No matter the method, paying off loans takes strategic planning. One of the most common ways to pay off loan and credit card debt starts with paying the smallest balance first. Applying extra funds will put you on track for paying off debt. Once the smallest debt is paid off, add the amount you were paying for the smallest debt in with the payment of the next smallest balance. Listing debts smallest to largest provides an easy list to help stay on track and pay off debt faster.