Simplify my finances

**responduser** · 07-18-2008, 01:21 AM

It is really difficult to suggest anything before having an idea what are the problems you are facing.

Still IMO if you don't have enough time to manage your own finance, take help from a financial planner who could help you in this.

**noppenbd** · 07-18-2008, 03:04 AM

Originally posted by questions View Post

Please help me! I am so frustrated trying to keep everything organized and it is making my finances a mess. What are the best ways to simplify my finances? The simpler the better. Even if it means that I may lose out on a bit of money here or there, I'm willing to do so if it will make things simple to understand and keep track of. Help!!

Read "Smart and Simple Financial Strategies for Busy People" by Jane Bryant Quinn, the queen of personal finance.

**maat55** · 07-18-2008, 03:57 AM

Here's what I do: A budget listing all my expenses from most important to least. Including all insurances and taxes.

I have a list of all my accounts and their numbers, includes banks, mutual funds, insurance companies etc.

I have a list of all online bill pays, their account numbers and passwords.

I have a net worth statement, listing all know possessions, assets and liabilities.

To get started, make your budget and find what you can get rid of. Build a small working capital in your household account so that you can pay a bill as it comes.

Having everything written down or on a spreadsheet in excel, will give you something to go by. Hope this helps.

**PrincessPerky** · 07-18-2008, 04:43 AM

Have less bils...cancel extra stuff so you don't have to keep track of it.

If possible find a friend to be moral support at least and help you automate the required bills (electric and such)

**disneysteve** · 07-18-2008, 06:12 AM

As others have said, it is hard to give specific advice without knowing exactly what the problem is, but you made a very important statement:
"Even if it means that I may lose out on a bit of money here or there, I'm willing to do so if it will make things simple to understand and keep track of."

Sometimes, in an effort to squeeze every last bit of income we can from our investments, we make things overly complicated, opening multiple accounts, shifting money around every time the interest rates change a fraction of a point, investing in a dozen different mutual funds, etc.

I'd suggest this:

1. Consider a target retirement fund for your retirement savings. That is a "fund of fund" that gives you broad diversification all in one fund and automatically adjusts the allocation as you get older.

2. Put as many things as possible on auto-pilot. Have your monthly investments done automatically. Have regular recurring bills paid automatically (mortgage, car payment, insurance premiums, etc.). If you don't have trouble with credit cards, have as many other bills as possible charged to your credit card. That way, you make one payment each month and settle multiple bills in the process.

3. Keep one or two credit cards and no more.

4. Keep one checking account and one high-yield money market account and no more.

**scfr** · 07-18-2008, 06:28 AM

Originally posted by questions View Post

I am so frustrated trying to keep everything organized and it is making my finances a mess.

David Bach has a filing system that is both fantastically simple and effective. It is the best I have used. You do not need to buy anything fancy ... All you need is manilla filing folders, hanging filing folders, and one place to keep all of your records together. I use a Rubbermaid plastic tote. I prefer that to a piece of furniture; not only is it cheap & sturdy, but in case of an evacuation I can grab it and go. When I moved cross-country recently, I kept the tote in my car and carried it in to my hotel room every night to keep it secure.

The Finish Rich File Folder System

**Ima saver** · 07-18-2008, 08:13 AM

Thanks for putting in that link, scfr.

**fruitbowlk** · 07-18-2008, 09:12 AM

ooh thanks.

**jIM_Ohio** · 07-18-2008, 11:22 AM

You need to know a few things:

Your income
Your expenses (by month and by year)

You need to make sure the yearly income and yearly expenses align (spend less than you earn).
You need to make sure the monthly expenses and monthly income also align (spend less than you earn).

You need to have a clear goal. Reduce debt, retire early, retire to travel, save enough money to start a business or something similar.

**Aleta** · 07-18-2008, 03:48 PM

As Steve has stated, it's not easy to direct you without any facts. The best you can do for yourself is to find financial books. They're in the library. The one mentioned by Quinn is a good one. Each writer has their own way of teaching finance. Your Money or Your Life is a good book by Joe Domenguez. I like ALL YOUR WORTH by Elizabeth Warren. She has a simplified approach. We have links here that can list various books that the members here have liked and suggested.

That was a very good link from SCFR. Looks like a place to start. Some people like Dave Ramsey here. Some like Suze Orman. Just start reading and find a book that literally opens your eyes up to possibilities.

**Like2Plan** · 07-19-2008, 04:19 AM

Originally posted by questions View Post

Please help me! I am so frustrated trying to keep everything organized and it is making my finances a mess. What are the best ways to simplify my finances?

Specifically, what area are you having trouble with?
Are you having trouble figuring out when bills are due and what is current?
Are you having trouble with not knowing where your money is going?
Are you having trouble meeting your financial benchmarks?

Do you currently use any type of software program to help you keep track of things?

There are many relatively inexpensive bill management services available.
This is one example:
Paytrust - Complete Bill Management
You have your bills directed to the service (either by mail or electronic bills) and they send you email alerts when they receive a bill or if one is expected and not received for some reason. And, you schedule a payment from your bank account (you can also set up rules for automatic payment). The software also integrates with Quicken, MS Money and excel.
At the end of the year you can order a copy of your bills on CD to keep a record of everything.

Do you fund your savings automatically every payday? It is really easy and it is done automatically, so you don't have to think about it. This works well for any type of savings for which you have a goal (401K,EF,car,college,IRA,FS, you name it). You set an annual goal, divide it by the number of paychecks and either have it taken out of you paycheck directly or set up an EFT from your bank account (make sure you record it in your financial software).

Simplify my finances