Home management is quite a task too. It is nothing short of handling a small business. There is human resource management, there is operations management and above all there is financial management. You need to keep every member of the family happy which is in no way easier than human resource management. Keeping the family running with every little thing is similar to operations management. And managing the finance of the family is a huge task since the security of your family depends on that. There are a number of ways by which you can manage your family’s finance well, keep each member happy and save for the welfare of your family’s future too. Here are a few tips as to how you can go about doing it well:
Planning at the beginning of month – The very first thing that you can do is sit down at the very starting of every month, once you receive your salary and divide the money into the regular expenditures of every month like electricity bills and so on. Keep the money in separate envelopes such that you do not end up spending all the money and default on bills at the end of the month. The advantage of doing this particular practice is that you would be free to spend the rest of your money for the remaining days of the month in any which way you want without having to worry about pending bills.
Maintain an expense diary – keep a separate diary and make the habit of writing everyday the amounts you have spent throughout the day and also write the reason for the expenditure. This way you can keep track of all your expenses and in case of any impulsive expenses that you regret later, you can avoid it in future as you would have a reminder of it in your expense diary. Another advantage of maintaining an expense diary is that if you writer down the amount of money you pay on bills, say electricity bills, you would be able to have an account in case of any discrepancies. For example, your electricity bills follow a usual amount every month and you pay it off in time. Suddenly one month the bill amount is huge and when you probe further it is said that it is late fine. If you have account of previous history of all the bills paid written in your diary, you can debate the issue.
The above two steps are fairly simple steps that does not require much hard work but are extremely helpful. Try them out for a few months and you would know the difference it makes to your family’s financial condition for yourself.