Weekly Summary for MoneyMasterClass - Session 39
=====================================================================
In this week's Money Master Class, personal finance expert Gail Vaz-Oxlade addressed a participant's question about creating a balanced budget. Vaz-Oxlade emphasised the importance of being aware of one's financial situation and making conscious decisions.
"A sound financial base gives options to make changes for the life desired," Vaz-Oxlade stated. Being aware and in control of finances allows for confident decision-making in life, she added.
Vaz-Oxlade also highlighted the difference between needs and wants this year, encouraging participants to focus on essential expenses while minimising discretionary spending. When it comes to cutting expenses, she suggested returning bottle deposits, reducing food waste, minimising gas expenses, and avoiding ATM fees.
If a budget doesn't balance, expenses need to be cut, Vaz-Oxlade explained. She offered practical ways to reduce expenses, such as following budgeting methods like the 50/30/20 rule, cutting back on utility costs, using public transport, planning grocery shopping with lists, and lowering TV and internet bills by reviewing plans.
In addition to expense reduction, Vaz-Oxlade discussed income enhancement. She suggested automating savings, eliminating credit card usage, and potentially seeking side jobs or other income streams. Using cash instead of credit/debit cards can also help make spending more tangible, reducing overspending.
Employing tools such as budgeting apps and templates improves tracking and control over finances. Vaz-Oxlade also recommended zero-based budgeting and pay-yourself-first budgeting as disciplined approaches to allocate every dollar purposefully.
Vaz-Oxlade also addressed the importance of being aware of negative self-talk, often referred to as the critical inner voice. She encouraged participants to be mindful of their thoughts and to focus on positive affirmations.
The article also provides links to Gail Vaz-Oxlade's books, including "Money Rules", "Debt Free Forever", "CEO of Everything", and "Money Smart Kids". It also offers multiple social media sharing options for the post, allowing readers to share the post on Facebook, X, Pinterest, LinkedIn, Tumblr, Reddit, WhatsApp, Email, Telegram, Threads, and Bluesky.
For those who missed the live session, Gail will be answering questions next month, and some were answered earlier this week. The article also provides links to previous weeks' recaps, resources, spreadsheets, and quizzes related to Money Master Class.
[1] Practical ways to reduce expenses [2] Using cash instead of credit/debit cards [3] Employing budgeting tools [4] Zero-based budgeting and pay-yourself-first budgeting
If your finances are stable (no debt, full emergency fund, balanced budget), it's okay to focus on other priorities, Vaz-Oxlade confirmed. Making more money can help balance a budget if cutting expenses alone is not sufficient.
In summary, key expense reduction methods involve controlled, conscious spending, reducing bills, and planning purchases carefully, while income enhancement focuses on disciplined saving, possibly adding earnings, and avoiding debt accumulation for better budget management.
Join us next week for more practical financial advice from Gail Vaz-Oxlade's Money Master Class.
- To effectively manage personal-finance and create a balanced budget, employing practical ways to reduce expenses such as using cash instead of credit/debit cards, employing budgeting tools, and adopting zero-based budgeting and pay-yourself-first budgeting can be beneficial.
- Maintaining financial stability, either by establishing a well-balanced budget, eliminating debt, and achieving a full emergency fund, allows one to focus on other priorities, and if necessary, explore income enhancement options like automating savings, eliminating credit card usage, and seeking side jobs or additional income streams.
