It’s a sad story you hear almost every day. People miss payments or payments don’t get recorded right at the receiving end, and the person making the payments is hit with massive fees. At the very least this is a hassle to deal with and straighten out. At its worst, this situation can utterly ruin lives. If this thought scares you, it should. In an economy where every dollar counts, who can afford to throw money away on completely unnecessary fees?
Technology has made amazing advances in recent years and there are programs available that claim to handle all of your budgetary needs for you. The trouble is that there really is no replacement for the human touch, and there really is something to be said about keeping your records with pen and paper. It has been noted countless times by highly successful people that simply the act writing something down means you are more likely to remember it. Typing it out doesn’t necessarily impart this same benefit, though.
Of course, there is no way to beat the convenience of the technological solutions available. There are many programs available that are full-featured and comprehensive. These programs will monitor and track every aspect of your budget in meticulous detail. This is honestly more than the average American household needs. A simple spreadsheet listing bills, dues dates, and amounts can often be a much better solution. It may take a little more effort but will be considerably less confusing and offers unmatched control and customization, which means you can tailor your budget to your personal taste and situation. Combine this with a simple checkbook – physical or electronic – and you should be able to get a pretty good grasp of your financial situation.
The fact is that many Americans are not taught how to budget when the are children, so they end up making unfortunate mistakes as adults. Teaching your children how to budget can be easy and fun, though, if you come at it from the right angle. Start by teaching them the basics – how to make change, how to balance a checkbook, etc. It’s also important to teach them the value of dollar and how to not waste money. Board games like Life and Monopoly can be an excellent catalyst for this education as they teach good money management skills and offer a great way to bring your family together for some fun.
So whether you decide to keep all of your records on paper or take the high-tech route, it is vital that you keep your financial records in order. Keep track of all your transactions and write down your confirmation numbers for the payments you make. Most businesses are honest and will not actively try to take money they are not owed. However, mistakes do happen, even to the best of us. That is exactly why we use receipts and confirmation numbers, so that lost payments can be tracked down and the problem corrected. Keep your records in order and you’ll have very little to worry about on this front.
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