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How to effectively live Within Your Means

Living a financial stress-free life demands discipline especially in your spending. That means what you spend each month must be a lot less than what you earn, then save and invest the balance. Simple.
Well, as much as it may sound amazing, it is a big challenge to many Singaporeans considering the high cost of living. Irrespective of how much you earn, if you are a reckless spender, there’s no doubt financial ruin will catch up with you sooner or later. It doesn’t have to get to that point because everyone has a freewill to follow a certain type of lifestyle that suits his/her financial status enough to enable them spend enough, save the rest and invest for a better future.

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5 Tips that can help you live within your means

Know your monthly net income

Having the exact figure of the money you bring in at the end of every month is important to enable you live within your means. This includes your job, your business or side-job put together.For instance if you’re paid per hour, get the cumulative figures; per month and per year. How often does the money get into your bank is also a key factor to avoid getting caught up in settling your bills.

Spend less than you earn

This demands that you have a monthly budget in place. Get the total cost of all your spending then subtract from your total income. If your balance is zero or negative, make necessary lifestyle changes e.g. what to buy and what to leave out, how much to buy and when to buy etc. Do this until your balance figure is between 15-30% of your total earnings. Even if it means shifting to a cheaper rental house, then so be it.

Do not compete with neighbours or peers

Resist the urge to keep up with the other people that you think are ahead of you just to impress them. Don’t try to copy anyone’s lifestyle; just be yourself and never mind what they will say. Don’t overspend, misuse credit card or take loans to acquire material stuff in order to look wealthy, why? Because in the long run you will end up miserably broke.

Increase your income

It is good to cut costs to save more but it’s even much better if you boosted your income to achieve that. This is so especially when you cut out so much that you start feeling deprived. Alternatively, aim for higher paying job opportunities, expand your business, implement on better business ideas or get a side job.

Quit depending on your credit card

Relying on credit cards may not lead you to attaining the financial freedom you so desire because they are not reliable. So when budgeting on your daily or weekly expenses do it without your credit card in mind. This is because the credit card issuer may decide to cancel it or reduce your credit limit because of one reason or another without prior warning. Some of reasons include high drop on credit score and irregular or lack of monthly repayments.


Legal Moneylender nearby Town– Singa Credit Pte Ltd

Established in 1992 and previously known as Yong Seng Credit, Singa Credit Pte Ltd is Licensed Moneylender in Singapore and regularly updated with the latest regulations to be in line with the requirements set out by Registry of Moneylenders.Please feel free to call 66946166 for more info on our lowest interest rate in Singapore or walk in our office 470 North Bridge Road #02-01 Bugis Cube Singapore 188735.