Tips for Spending your Malaysian Ringgit Wisely
As you age, you start to have piles of
bills and lists of bigger expenses. As you start to become independent, you also
begin to save for your own home, car, and other investments you personally deem
important. You also start to set aside money in funds that you can use for future
emergencies, and you begin to know the value of each Malaysian Ringgit.
Below are some tips on how you can spend your
Malaysian Ringgit wisely and save money effectively:
1. Modify How You
Handle Money—Bit by Bit.
It may be hard to drastically change your
spending habits since you are already used to spending your Malaysian Ringgit
the way you have always done it. Try to change your money handling habits, bit
by bit, by thinking of one specific habit you can modify a little. It can be
changing a lifestyle habit such as not ordering add-ons like a hazelnut shot
for your coffee, or not getting extra cheese for your pizza when you always
order add-ons for your food or drinks. You may also try using cash for your
daily expenses for a month so you can see how fast your money goes when you are
not swiping your card. If you find this inconvenient, you can also try to
monitor your daily expenses by using a mobile or handheld device app that
tracks your expenses.
2. Keep Track of Your
Transactions.
Always check to see if your bank account
and credit card statements are accurate. Save all the receipts or bills you get
and verify if your transactions match the ones stated on your bank and credit
card statements.
3. Don’t Choose
Deposits that Offer High Interest Rates.
Saving money is also about not wasting your
money. In choosing a bank for your fixed deposits, steer clear of those that
offer very high interest rates. You may end up losing more money to these
interest rates if you don’t consider options with caution. So be careful in
picking a fixed deposit account.
4. Purchase Shares
Online.
Another good tip in making money is to
invest in shares. It is one way to earn through interest. This only works if
you don’t touch the cash in the account. If you decide to buy some shares, make
sure to get them online rather than from a broker. Getting shares online is
usually cheaper and will give you more control over the shares you bought.
5. Invest in Gold.
Invest in gold—not by purchasing gold but
by buying gold exchange traded funds (ETFs). Investing in a gold ETF will ease
your mind from that mild fear of you thinking your gold may be stolen, but it
also allows you to earn income from the interest rate when the fund does well.
Another benefit of investing in an ETF as opposed to purchasing actual gold is
that you won’t get charged a wealth tax for it.
6. Get a Credit Card.
Another way to ensure that you have spare
Malaysian Ringgits in case of emergencies is to get a credit card. A credit
card can be a safety net that you can use to pay your bills and other
unexpected expenses when your salary is late or when payday is still weeks
away. Also, you never know when you may suddenly run out of cash due to a
family emergency or sudden illness or injury. In these cases, a credit card can
ease your mind by providing you with the extra funds you need.
Practice at least one of these money-saving
and money-making ideas once a day, and watch how your expenses dwindle as you
become more aware of your daily transactions, and you start learning how to properly
and smartly allot money for all your needs.
About
the Author:
This article is prepared by Compare Hero for KLSE Malaysia Blog.
Compare Hero is Malaysia’s leading financial comparison website. Users can
compare a broad range of financial products side by side for free, thus
enabling Malaysians be equipped with financial knowledge to make better
financial decisions.