Money Rules You Should Be Living By

Everyone wants more money.  Everyone wants their financial future to be safe. Not everyone knows the best way to manage their finances.  There are certain things that anyone can do and that everyone should be living by in order to keep their finances in check.
The first rule to live by is to pay off all your debt and create an emergency fund before you really worry about saving money for retirement.  You should start saving early, do not stop, but do not focus on saving even more than necessary.  All debt needs to be paid off first; this is because debt has interest.  Debt will add up quickly over time and that is the main reason that you want to make sure that it is paid off first.  You need an emergency fund.  The nice thing about emergency funds is that if you need them they are there with you.  If you never end up needing it before you retire, then you have more money for retirement.
It is recommended that you save at minimum ten percent of your income.  If you are getting a late start then experts recommend that you save even more than ten percent.  If you are starting late and can afford to then you should be saving twenty percent of your income.  If twenty percent is too much for you to afford, then you should at least try to save fifteen percent of your income in order to save enough for retirement.
This next tip should be known to you already, it has been said many times.  If your employer will match your contributions to your 401(k) you need to make sure that you are contributing at minimum the amount that your company will match.  If you do not then it is essentially the same as giving away free money.  Who gives away free money?  You should not be one of those so make sure you are contributing at minimum what your company will match.
Everyone knows that buying a home is a great investment.  Most experts will agree that the investment of buying a home is at its peak if it is no more than two and a half of your annual income.  If it is more than that, wait on buying it until you make more money.  Do not buy any home that has a price that is more than two and a half times your annual income, after that it is just not as good an investment.
These are rules that everyone should be living by.   They will help to keep your finances in check, and will help you to maximize your investments.  These will all help you to maximize your investments and savings.  After all when you retire you want to have made good financial decisions so that you can retire comfortably.

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