If you are a person who is ready to start planning for the future, then there are some things that you should think through before starting the process. The choices that you make right now will affect how much you pay for things later in the future. To help you manage your money more smartly here are five smart money moves to help you build a bright future.
Contribute to your employer's retirement plan
A 401(k) plan is usually matched by your employer up to a set dollar amount. Any money that you can put away now will be money that you can use later in life.
Shop around for great car insurance rates every 12 months
Car insurance rates change on a regular basis. An insurance quote is only good for 30 days before a new one must be obtained. You can save hundreds of dollars every year by switching to a cheaper policy.
Keep your credit rating high
A credit rating is how lenders determine whether or not they can loan you money. It is also the way that the interest rate is set for your loan. If you pay your bills on time, your credit rating will be at a high level. Your bills include everything from loan payments to credit card payments. Missing just one payment can cost you thousands on a new loan. Get a cashadvance
to cover yourself until your next paycheck, and stay on time with those bills.
Keep your home insurance policy and auto insurance policy bundled together with the same company
You can save anywhere from 15 to 20 percent off your premium by taking advantage of the multipolicy discount. You will want to check with your insurance agent to see if you are getting this discount.
Have an emergency fund set up just in case you find yourself without a job for a period of time
An emergency fund should not be used to go on vacation or go out to dinner. It should be used to pay bills in the event you lose your job. To set this up just figure how much you pay on bills every six months and set a goal to have that amount in your savings account.
No matter what age you are, it is still important to think through your future finances. Thinking through your finances will help you set a goal for the future. These five smart money moves will help you get started toward being a wise steward of your money.