Get control of your finances with a reverse budget – news Lifestyle – Tips, advice and insight

– I don’t set a budget, but I have full control over what I spend my money on, says Vincent Sun (25). Since 2020, he has taken care of every single receipt for everything he has bought, and entered it into a detailed form. – If you don’t have control over money, you don’t have control over life, he believes. The wasteful truth Not all young people manage to save, but I think more find an extra penny with a reverse budget, says consumer economist Derya Incedursun, consumer economist at Nordea. Photo: Nordea – I think this is a creative solution to get an overview. With a reversed budget, many people are probably shocked to see what they actually spend money on, says Nordea’s consumer economist Derya Incedursun. You don’t need to log all purchases for many years to see what you’re wasting money on. – Three months will last. You quickly gain insight into which areas you need to cut back on, she adds. Because if you ask yourself if you can afford to save, the answer might be no. But when you see what you’re spending money on, you might rather spend that sum on something else. Snuff, soft drinks, electric scooters, lunch, coffee, clothes and taxis can feel very important when you pay for them. But the total sum you spend on impulse purchases over a few months can be much larger than you think. – Test the reverse budget and get control of what your money goes to. When you get an overview, I think it can help you save a bit on the side, urges the consumer economist. But it can sting, and is not necessarily easy. Sun believes that a change of attitude is needed, and that you must be willing to sacrifice everyday goods in order to save. The money he saves, he spends on travel, hobbies and things he is passionate about. – I have no need for mobile data, so I use a prepaid card and get by with less than NOK 500 a year on mobile bills. And I rarely eat snacks. I buy chips, soft drinks and snacks maybe two or three times a year, says the 25-year-old. Photo: CAROLINE UTTI / news NOK 350 a week For several years Vincent was a student at Gjøvik, and lived in a collective for NOK 5,000 a month. Nevertheless, he got by on only a summer job and the study grant. – I spent NOK 350 on food a week, and it actually went surprisingly well. Now that prices have increased, it is possible to do the same for NOK 400, he believes. But then you have to plan and think big. Sun buys large sacks of rice, lentils and beans, and meat, fruit and vegetables at the lowest price per kilo. – If you have a greengrocer in your town, it is often cheapest there, if not you should shop at Kiwi or another low-price chain, he encourages. He himself mostly eats chicken, and makes large dinner portions where the leftovers become lunch the next day. It takes a bit of planning, you can’t be too picky and you can’t have any food waste. – Stay far away from ready-made food, it is very expensive. It is much cheaper to cook the food yourself, says Sun. – It is not embarrassing or embarrassing to run after offers for food. Everything costs a fortune, so download the food offer app and buy a lot of what you eat often when it’s on sale, urges consumer economist Incedursun. 💸Do you have control over where your money goes? 💳Yes, I check the online bank often 🫙No, but I notice when the account is empty 💭No, but I dream of getting a better balance 🛒No, but I will start recording my purchases 🧾Yes, I set a budget and stick to it to that 😔Unfortunately I can’t afford some things… Show result Juggling credit card benefits Sun uses credit cards exclusively to enjoy extra benefits. – I have four different ones, and use them all the time. Of the cards I have, the benefits include travel insurance, airport lounge, cashback, discount on streaming services, restaurant discount and more, he exemplifies. Credit cards can provide many advantages, but unfortunately it doesn’t take much before the bill grows. – If you are not structured, I would advise against having a credit card. If you have full control, it can be a great way to take advantage of the benefits. They can come in handy if you are a student, but the consequences can be fatal if you fail to pay, warns Incedursun. You get reminders, fees are added, and after a few weeks a small sum can add up to a large sum. – There is interest of up to 25 per cent, and it can end with a payment notice. Then, for example, you won’t get a mortgage, she concludes. – Even if it is uncomfortable for some to talk about personal finances, I still believe that nothing else is healthy, to raise awareness before falling into a luxury trap, says Vincent Sun. Photo: CAROLINE UTTI / news Hi!🙋🏾‍♀️I write financial matters for young people. If you have tips for things I should do, it would be great if you send me an e-mail! If you want to read more financial things, you can find the other things here. Published 15.10.2024, at 04.55



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