Don't Let ADD and Money Make a Monkey Out of You

Do you forget to pay your bills? Does there always seem to be a shortage of money at the end of the month? Are you swimming in credit card debt? If you have ADD, chances are that you can answer, "Yes," to at least one of these questions. But it doesn't have to be that way. Here are a few tips for keeping your money matters ADD-friendly:A Simple Bill Handling SystemThe first thing you'll need to do is to go out and pick up some colored hanging folders. If you don't have a file cabinet, get a file box that you can find in any stationery store or discount department store. They're very inexpensive. Then, make a folder for each expense. Use one color for your bank statements, another for your utility bills, and another for credit cards. Keep the system pretty simple or complexity could let another ADD trait---procrastination---take over.Each day when your mail arrives, separate it immediately into what you don't need and want to throw away and your bills and other things that need attention right away. Do the things that are needed and either pay the bill right away or put them in a central place where you can retrieve them when the money is available for paying the bills. This could be the front of a desk drawer, for instance, or even a basket on top of your desk. Just be sure that nothing goes into that basket besides your bills.If you don't already use online banking, stop worrying about the security because banks are pretty secure. Nothing is 100 of course, but your chances of getting into trouble with an online banking account are slim. So, once you have this set up, and as each bill comes in, go to your account and fill in the information for the payee. You'll only have to do this the first month. After that, all the information is right there, and you can just point and click at the bills you want to pay. Not only will this help with your ADD boredom over dealing with finances, it will save you lots of time.When you're finished paying your bills, be it online or off, put the paid bills with the date of payment written on the front, into one of the colored file folders. That way, when tax time comes around, all your financial records will be at your fingertips.Stop Impulse SpendingWith the ease of use and availability of credit cards these days, it's easy to just pull out plastic to pay for everyday expenses. Only keep one credit card, and never use it for daily spending! Put it away in a safe place and only pull it out when you have an emergency, like an unexpected trip to the dentist. Make that one card a universal card, like Mastercard or Visa, and stay away from department store cards because they'll suck your bank account until it's dry. Be wary of interest rates, too, and shop for the best card for the lowest expense of owning it. Make sure there's no annual fee, too.Don't carry a pile of cash on you, either, and don't allow yourself access to every cent in your bank account with a debit card. Open a separate account, preferably one without fees, and keep a monthly "allowance" in it. When the money runs out, don't give yourself any more until the next month. Budget for this amount and stick to it. Carry a separate debit card for this account, and put the other one away in a safe place, in case you need it for an emergency. Always go to your bank balance for emergencies first. That way, you won't be paying back any interest and you won't be opening a can of worms for yourself. Once a credit card has a balance, it's easy to say to yourself, "Oh, what's a couple more bucks?"Avoid these impulse spending habits by waiting to buy something. Just walk the other way and wait a day before you actually shell out the cash. This time interlude will allow you to see the difference between what you really need and what you just want. Wants aren't important. Needs are what you should concentrate your spending on.Be Your First BillBefore you pay any bill, any expense for the month, you should always be paying yourself. Ten percent of your income, every time you get money or a paycheck, should go into a savings account. If you don't have a savings account, get one and never, ever use it except for depositing. Your savings account is for huge expenses, like buying a house, repairing your car, or retirement.All of these tips are solid money management tips for anyone, whether they have ADD or not. Try one of them, and see if it doesn't help you to manage your money better. We guarantee it will. When you find out for yourself that it does, it's simple! Come back and try another.

Comments? Questions? Email Here

© HowtoAdvice.com

How to Advice .com