Tough times..but basic rules of Personal Finance still remains the same:

The most common discussions that you will come across today, are in some way related to the present financial scenario. Some are worried for their present financial status and some worried for their future. Everybody, in some way, is undergoing a phase of financial tension now.

Times are really tough. But irrespective of the economic condition, good or bad, the basic rules of personal finance still remains the same. Please don't get panicked by the term "rules", they are just some basic tips that will help you improve your personal finance at any point of time. It just takes little dedication to achieve financial abundance for future. Here are the few rules of personal finance:

• Pay yourself first

Let me be more clear with what I meant by saying "pay yourself first". This means keep away something from your present income for your future. Do not barely depend for your retirement or the government to get there. You should always keep some away for emergency.

• Live within your means

This is one of the most important rules of personal finance. One should always know his or her expense limitations. Try spending less than your income. Though this sounds very obvious yet very few of us follow this rule. Its hard to resist the lure of the new things that we can afford to buy. Think of the long term for a secured future. Savings plan is a good option. There is no doubt that effective cost cutting will result in big savings.

• Pay off your debts

It is truly said that debt is financial cancer. From today itself make it a priority to pay off the debts. And also try to stay away from it as much as possible. Here's one of the most common example that I can think of : the use of credit cards. We often tend to forget that this is money after all. It might happen you have to pay your negative balance, which is really tough if you have not controlled your expenses.

• Plan your budget properly

Proper planning of one's budget is an important criteria for personal finance. Depending on your earnings, you should plan your budget such that overall expenditure is less than your net income. If you succeed in this, you don't have to think for your future financial crisis anymore.


Of course there are many more advices and guidelines that you can follow. But I am sure if you are able to accomplish these few steps, you will be successful with your personal finance. So just don't stop think about it,start following the rules for a stress free life.