Personal Finance Tip – Self Control and Restraint – You Can Do It!

Personal Finance Tip – Self Control and Restraint – You Can Do It!

We all seek peace of mind, and we all desire security and happiness for ourselves and our families. If we look for the silver linings in this past year’s economic downturn, perhaps the trials some have faced have taught us that peace of mind, security, and happiness do not come from buying a home or accumulating possessions for which the debt incurred is larger than our savings or income can afford. Are you currently in this situation? Wondering what you can do? Or, are you wondering how you can avoid such a predicament? Let me give you a tip that can help you and your family avoid the financial pitfalls that so many people are experiencing.

We live in an impatient and intemperate world full of uncertainty and contention. The one thing that we can all count on is that life is uncertain. What will tomorrow bring? For most of us, the uncertainty of the future brings real fears or doubts about their financial survival. It would be nice if there was a way to remove all uncertainty about the future, but this is not possible. So, what can one do?

Security for ourselves and our families comes from learning self-control. We all can see the affects of what competing with the Jones’ has done to our nation. Everyone buying bigger homes, more expensive cars, and trying to outdo each other with this or that. All of these things have brought on tremendous amounts of debt. As we have all heard before, the problem with competing with the Jones’ is that the Jones’ are quickly going bankrupt.

See also  How To Stay On Top Of Your Insurance Learning how to manage your insurance needs is important. Having quality insurance will ensure that when the unexpected happens you will be covered. There are so many different types of insurance out there and so many different ways to handle your insurance needs. Here we've complied some tips to help you. Auto Insurance When purchasing insurance, whether it be for your home, your automobile, or even on a pet, try to see if the company offers any sort of bundling discount. A lot of times if you have several different policies, say renter's insurance and auto insurance, you will get discounted on both. For apartment dwellers usually renter's insurance is mandatory, so asking this question is tantamount to guaranteed savings. By way of conclusion, bundle and save money! Car Insurance Much like car insurance or health insurance, having a higher deductible can save you money on your premium. The downside to all of this, is that if you have a small claim to make, you will most likely have to pay for the entire repair out of your own pocket. Cheap Insurance In order to get cheap insurance rates it is best to buy insurance online. This reduces the cost of the insurance because most companies will not need to add overhead associated to the automation process of signing up for the insurance. Insurance rates taken online typically drop by five to ten percent. Home Insurance Look into multiple insurance policy discounts. When you bundle your insurance contracts with one company, you will often get a discount of 10% or more. If you currently have home insurance with a company that you are satisfied with, contact them and get a quote for auto or life insurance. You may find that you will get a discount on every policy. Insurance Car Health insurance, car insurance, renter's insurance, pet insurance, travel insurance. All of those things are necessary and they insure one's peace of mind. It is easy to think that paying a minimal monthly amount is ridiculous, but when something catastrophic happens, insurance saves the day. Insurance will save one's car, another driver's car, items in one's apartment, cover the bills for a sick pet, reimburse one for a trip that got cancelled because of bad weather, or pay medical bills. Purchasing insurance is necessary and it should factor into everyone's budget. One hundred dollars every month is far easier to handle than one hundred thousand because something unexpected happened. Insurance Companies When purchasing insurance, make sure you buy it over the internet. Most insurance companies offer discounts for those who purchase their coverage over the internet rather than in person or over the phone. Some offer discounts between 5-15%. It may not seem like a lot at first, but it adds up over time. Insurance Policy Repeat after me: you must always read the fine print when signing an insurance policy. In an insurance transaction, you typically will have to sign a large number of papers containing thousands of words in tiny print. You need to read - and understand - these forms before you sign any insurance policy. Do not allow the agent to blow through the forms and simply sign at the several places marked with an X. If you don't understand the fine print, you will likely regret your purchase decision down the line. Motorcycle Insurance Save money on insurance by purchasing bundled policies. For example, you may be able to insure both a car and motorcycle for a discounted fixed rate. You will be able to find bundles that cover your vehicles and your home. Before you buy anything, though, be sure that you actually need it. Vehicle Insurance If you don't have health insurance coverage, you may want to add medical coverage to your vehicle insurance policy. Auto accidents are often a major cause of catastrophic medical bills and the medical coverage will cover everyone in the car, regardless of who the driver at fault it. This can protect your assets from being party to a lawsuit and can save you a lot of bills in the even an accident occurs. Insurance coverage can be a minefield of unfamiliar terms, fine print, discounts, coverage levels and so on. There's no way we can cover everything you need to know here but hopefully this has been a good starter to get you on your way. Research your particular needs and make sure that you stay covered!

In order to save ourselves and our families from following that road of becoming slaves to debt is to learn self-control. We live in a time where so many people have fallen victim to the “entitlement mentality.” Why so many of us feel that we are entitled to have so many things before we can afford them, is beyond me. But, it is reality. And it is an obstacle that we all have to overcome individually. What are the first steps?

Avoid the excesses of this world, and be temperate in all things. Live within your means and be temperate. Temperate means exercising restraint. Restrain yourself from spending money on unnecessary items. You may think that you need something “right now!” But, the truth is, it can wait! Don’t charge everything on a credit card just because you have the room on your card for it now. Instead, exercise restraint and start putting a little money away with every paycheck to purchase those things that you want cash.

So, the tip for success when dealing with your personal finances is to learn self-control and be temperate with your finances. If you can master these things now, you can and will reap the benefits down the road.