Money can be a real source of stress for most people. No one likes to take time out to pay bills, especially if funds are tight, but it is a definite must to in our current way of life. Not taking care of your finances can lead to bad credit which can cost you more in interest rates when you need to make a big purchase or deny you all together.

There are a few things you can do to make this process easier, less painful and more organized. These are keeping it simple ways to declutter your finances and make your life easier. If you don’t pay your bills on time normally this can help you get on the right track.

1. The first step is to know where your money goes. This sound easier than you think. Many small and cash purchases don’t get tracked and can be forgotten. So for a month or two keep track of what you spend your money on either on paper or electronically.
2. Once you have completed step 1 – create a monthly budget. This will detail your current income and bills. If you have never created a budget we will be doing an article on Budgeting 101 soon and once it is done I will add a link here. (see Budgeting Made Simple)
3. Auto pay any bills you can to one credit card. I have one that I use to get points, just be sure it is a card you pay off monthly with no exceptions. The point of this is to make it simple not pay for interest. I set this card to auto pay on the date from my bank account. This works for things like gas, some utilities, phone and subscriptions.
4. Pay on-line. I am still amazed by the people who write and mail checks. No more waiting to be sure your payment arrives and the cost of stamps is only going up. Most on-line banking will give you a traceable confirmation number.
5. Use your bank’s bill paying function to pay bills that don’t fit into item 3 or 4. Auto draft is also available (sometime mandatory) for mortgage, personal loan and car payments.
6. Still get bills in the mail? Or email notifications? Then the day you get them set them up for payment on the due date. Don’t wait only to find them in a drawer weeks from now, or buried at the bottom of emails you forgot about. I signed up for electronic bills in my banks bill payer system so I get the bill electronically right in the bill payer app.
7. When your check is direct deposited auto deduct even a small amount to a savings account. Pick a set amount to save even $20 at a time can add up. Keep yourself motivated not to touch it by setting a goal to save or a small wish list purchase once you attain the goal.
8. Does your company offer a 401k match? Make sure you are maximizing your contributions to get the full amount of that “free” money in your retirement fund.
9. Most Americans don’t have any type of emergency fund. Let’s face it, emergencies happen (car/home repair, unexpected bill or illness) and usually at the worst possible time. Having some cash set aside can really make this process much less stressful. As with step 7 auto deduct this out of each check into an account. Set a goal in your budget and replenish if you need to use these funds to cover an emergency.
10. Acorns App – spare change investing. The average person at best has retirement investments. The concept behind this round up investing is that for every purchase you make you will “round up” to the next dollar and invest the spare change. This can add up over weeks, months or years of investing. Even though I have a background in accounting, I don’t have any investments outside my 401K. So to me this was a smart, fast and easy way to start without really carving anything extra out of my budget. If you want to try Acorns, get $5 when you use my invite link.

Hope you find these tips helpful. How do you keep your financial life uncluttered?

1.Subscription services/gym memberships – if you actually use your gym membership then by all means you should keep it. Review your cost though and compare. You can easily find something with just access to the machines for $15/month. Review all your monthly services – are you using them? You’d be surprised how many people pay for things they aren’t using.

2.Latest gadgets – Do you get a new phone every year? This also leads to a new case/screen protector because they never fit. Do you really need that latest cooking gadget? With every purchase I ask myself “will I really use it?”

3.New cloths – first I no longer shop for cloths without a list. Then I try to buy second hand high quality items over inexpensive new ones. Capsule wardrobes help you limit items in your closet while maximizing your daily outfits. I am not saying never to new but I try alternatives first.

4.Plastic sandwich bags – I replaced these with plastic sandwich containers that can be washed and re-used and protect a sandwich from being crushed. Not to mention can store items other than sandwiches.

5.Napkins – I got several packs of facecloths from Target. They are inexpensive – about the same size and can be easily washed and re-used.

6.Dryer sheets – I switched to wool dryer balls. If you want scents in the dryer just add a couple of drops of essential oil on your dryer balls. I prefer the ones made from wool.

7. Water bottles – better for both your wallet and the environment. Use re-fillable and washable water containers.

8. Coffee Shop Coffee –all your coffee purchases over a month will really add up. If you are a daily purchaser maybe do it once a week as a treat. We got a Keurig machine for home. This satisfied everyone in my household.

9. Books – unless I need it for reference in the future I read on my kindle and no longer purchase physical books. This saves money (kindle are usually less expensive) and the clutter.

10. Magazines – I enjoy a few magazines but I now get them delivered electronically vs paper. Magazines especially tend to be tossed after we read. Reading electronically will save trees, money and space.

11. Occasion clothing – ie. Shoes for one outfit or formal wear. I have one basic black formal wear dress. If I really need something for a special occasion I shop in a second hand shop then re-sell after I use it. I won’t buy shoes that work with only one outfit.

12. Disposable dishes/flatware – Even when I brown bag food from home for lunches I use real washable flatware and plastic re-usable dishes and containers. Don’t trust kids with your set of flatware/dishes from home? Pick up some odds and ends at a thrift store. These can be easily sterilized in your dishwasher.

13. Takeout/Fast Food – It’s not that I never get takeout or fast food but the goal is to drastically reduce it. We instituted make pizza night at home where we make pizza from supermarket pizza dough bought fresh (easy to freeze). Going out for the day? We pack lunches and/or snacks for on the go eating. This is much healthier and cheaper than eating out. Driving kids to practice with no time to eat yourself? Bring something from home to eat while you wait.

14. Cable – Figure out what stations you watch. With smart TV’s and Roku sticks as long as you have internet service you can stream almost anything. May services like Hulu and Netflix are reasonable and if you already have Amazon prime they have lots of free content (movies and shows) for their customers. Not ready to cut the cord? Look at what you are really paying for – could you save by buying your own modem? Do you watch those movie channels you pay extra for? Take a good look at your bill.

15. Labor – Many basic repairs/tasks can be done yourself vs paying someone to do them. With most appliance repairs I will google first. I have been able to save myself repair costs several times doing this. Repainting? You can do it yourself for a fraction of the cost. Look at what you are spending and see where it makes sense to cut back.