A recent CNN Money article provided advice for consumers hoping to better manage their savings.
The article relayed that setting up a "bucket budget" can be helpful, as it effectively divides a person's expenses into three categories – the amount a consumer wants to save, how much is needed to cover monthly fixed expenses and how much one can "spend on the fun stuff," a professor of family finance told the article. In all, having a savings account and two checking accounts may only cost a consumer $5 to $10 a month to manage the extra account.
Consumers can also set up moderate-risk portfolios to better budget their money. These programs require users to enter their bank and credit card information, and then it will categorize spending habits. However, there are limitations, as money spent on items at a grocery store that aren't food might be categorized as such. Consumers can also enter expenses by hand to create a more analytical projection of their spending. In all, this program takes just an hour to set up and requires 30 minutes or so per month to add transactions or adjust accounting errors.
In addition to bolstering savings, another way for individuals to secure their financial futures would be to check their credit reports to see if they need credit repair. By working with a credit lawyer to identify mistakes or unsubstantiated items on their credit reports, consumers may be able to find unfair blemishes that are hurting their three-digit numbers. Removing these negative marks may be an effective way to get finances back on track.