Pay day – the best day of the week! Are you feeling tempted to spend it all in one place? Even veteran employees need some guidance on budgeting and managing their paycheck as it arrives, whether you get paid weekly, biweekly, or monthly. You’ve earned your money, and you want to make sure you’re spending it right. Hold off on impulse purchases and check out our quick Budgeting 101 facts instead:
Check the Accuracy
Make sure your paycheck accounts for every cent you’ve earned. Get into the habit of noting your hours personally and checking that against the earnings on your check. Mistakes shouldn’t happen, but you’re the only one looking out for yourself. Your pay stub should show the right amount of compensation, as well as all taxes, are taken out.
Find The Right Split
Many live by the 50/30/20 rule: 50% of your income to “needs,” 30% to “wants,” and 20% allocated to long-term financial goals like retirement. However, it’s important to note that lots of budgeting advice are outdated. The federal minimum wage remains stagnant, and it’s not uncommon for individuals to spend upwards of 50-60% on their housing costs. We can give you a framework to help you stay organized, but make sure you’re personalizing your budget priorities.
When it comes to your paycheck, you deserve to treat yourself! However, thinking about the future now will only benefit you. Sometimes it feels impossible to save, but try working little by little to set funds aside. For example, if you’re chipping off a big debt, such as student loans, medical bills, or credit card debt, add an extra $5-$10 from each paycheck. That may not seem like much of a contribution, but it’ll add up, and you’ll barely notice!
There are hundreds of different apps designed to keep you on track at free or premium levels. Try any of these to get you started with a great framework to keep your income in order:
Find Your Next Opportunity
Are you an entry-level worker looking for more opportunities? Davis Staffing can assist. Our experts can help you build the skills you need to take the next step. For insights on open positions, resume-building, and interview tips, check out Davis Staffing’s website today.