Minimize in May
A strategy to assist with maximizing financial health is to understand your income and your expenses. We know what income is; any money received or earned. After you receive or earn money, often there are expenses that need to be paid. There are different types of expenses
Fixed expenses: are the same every month. Each time you pay that particular item, the amount is the same. The rent or a car payment, these are considered fixed expenses.
Variable expenses: these are bills that are different each time you pay them. Perhaps the electric bill, or the water bill, sometimes it is the cell phone bill.
Periodic expenses: these are specific expenses that are only paid once every three month or twice a year or any time that is irregular. A birthday or anniversary gift for someone or car repairs are considered periodic expenses.
Planning ahead and budgeting for these expenses can help minimize your debt/bills/expenses.
You ALWAYS have the option to pay early or in full on certain expenses like credit cards or cell phones bills. Remember to read the contract associated with the expense. There are certain contracts that may penalize you for paying early.
Until next time….remember to Leave A Legacy Always.