MONEY MANAGEMENT

          

Money Management :

                                                        Money Management is the process of tracking expenses , investing , budgeting, banking and assessing tax liabilities , it is also called Investment Management.

Money Management is a strategic technique to deliver the highest interest-output value for any amount spent on making money.

                                        

                                                   It is a broad concept that encompasses and integrates resources and solutions around the investment industry as a whole . consumers have access  to a variety of resources and applications on the markets , which helps them to manage almost every aspect of their personal finances individually.

 

Definition : 

                 Money management is the process of budgeting , saving , investing , spending or otherwise in overseeing the cash usage of an  individual or group . The predominant use of the phrase in financial markets is that of an investment professional making investment decisions for large pools of funds, such as mutual funds or pension plans. It is also referred to as "investment  management " or port folio management ". while the term is usually used in reference to professional money managers, everyone practices some  form of investment management with their personal finances.

Features :

• Keeping all payments and receivables transparent.
• Amortizing prepaid expenses.
• Depreciating assets according to accepted schedules.
• Keeping track of liabilities.
• Coordinating income statements, expense statements, and balance sheets.
• Balancing multiple bank accounts.
• Ensuring data integrity and security.
• Keeping all records up to date.
• Maintaining a complete and accurate audit trail.
• Minimizing overall paperwork

Importance :

•   It is as importance as  earning money itself , and would help you make the best use of money.
• Identify your money and track its pathways.
•  Increase your saving and your money would be managed . 
• Saved money doesn't only help you in bad situations .
• You can also use your savings when the right opportunity comes and then double , triple or multiply the money. 
• so saving is managing for future. 

          Features :

                         The purpose of implementation a money management program is to put in complete control of your financial decisions , future savings goals and create a life style by design . saving plan- setting a plan to suit your desired lifestyle but balance and align this with your longer term financial goals

To improve your personal financial management skills, you must learn what's involved. The different aspects to financial management include:

• budgeting
• banking and saving
• paying taxes
• investing
• managing debt
• retirement planning,
• estate planning.

Budgeting

Drafting a personal budget is one of the best ways to control your spending. Until you know what you earn and spend, you can't figure out how to live within your means. Don't be intimidated by the process. Creating a budget can be simple and easy. (For information on budgeting, see How to Make a Budget.)

Banking and Saving

When it comes to deciding where to keep your hard-earned money, not all banks are the same. Fees vary greatly. Banks might charge you for visiting a teller, speaking with a customer service representative by phone, paying bills online, overdrawing your account, or many other events. Choose a bank that has the best balance of customer service and fees, considering the types of services you plan to use the most.

Checking accounts. Many checking accounts waive certain fees if you have your paycheck directly deposited into your account. Most checking accounts also come with debit cards, which you can use to withdraw money from your account and to pay for items as you would with a credit card.

Savings accounts. For savings accounts, ask about interest rates, minimum balances, and whether you're allowed only a certain number of transactions per month. If so, you will generally be charged for each transaction over the limit.

Protect yourself from identity theft. Be sure to ask about the bank's policies to protect you from fraud and identity theft if someone uses your ATM or debit card without your permission. (To learn more about preventing identity theft, see Top Ten Ways to Prevent Identity Theft).

Paying Taxes

File your tax return on time. If you can't, it's easy to get an extension by filing a simple form. However, an extension does not extend your time to pay any taxes you owe; you'll have to pay these when you file for the extension. Keep all documents related to your return for at least three years after you file. (For more information on paying taxes, see Nolo's article An Overview of Personal Income Taxes.)

Investing

When considering ways to invest your money, some common possibilities include (in roughly increasing order of risk): certificates of deposit (CDs), bonds, mutual funds, real estate, commodities, stocks, and business ventures.

The riskier an investment is, the more important it is that you have some expertise or get assistance from a competent agent. Also consider how quickly you'll be able to cash out of the investment if you need quick access to the money

  

                        

                                 

                                            THANK YOU

ABOUT ME 

I AM P.SAI SARN SANDEEP FROM SIVA SIVANI INSTITUTION OF MANAGEMENT KOMPALLY ,HYDERABAD .

 I HOPE THE INFORMATION WHICH IS MENTION WOLD BE HELPFULL TO YOU IN INCREASING THE KNOWLEDGE ABOUT THE TOPIC.

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