Enrich-your-financial-health
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How to enrich your financial health with Hysab Kytab

Are you facing financial crises?  Or are you near to commit a financial suicide? Financial crises are an avoidable thing but still we consider them as inevitable. We all have been a victim of financial crises at some point of our lives. You can unshackle your financial instability with key of money management. You can enrich your financial health by just following few steps recommended by Hysab Kytab. To secure your future and to restrain you from financial crises Hysab Kytab is always there at your disposal.

Step No 1: Analyze your spending pattern.

Mismanagement of money can lead to great catastrophe.  It is better to save than to regret. First rule of money management is to keep track of your finances. Where, when and how your money is going should be on your fingertips. Hysab Kytab can keep track all of your finances effortlessly. The more transaction you add on Hysab Kytab the better the understanding it will develop for you. Hysab Kytab has made money management really easy you can keep all of your transactions, budgets, accounts, and reports at one place.

Step No 2: Set monthly budgets with Hysab Kytab.

 Stick to your budget is one of a financial mantra. It is imperative to allocate genuine amount of money for monthly budget otherwise you will not be able to stick with your budget. Budgets are necessary to maintain your financial fitness and shape your spending behavior. Hysab Kytab offers you to set monthly budgets. Hysab Kytab develops simple understanding of budgeting and reporting. It allows to set as many budgets as you want. Furthermore it allows you to customize icons.

You can also read: 5 Ways to Save Money for your Dream Vacation

Step No 3: Dream of better future with a genuine saving goal.

Saving can actually build a stairway that can lead you to your better future. Most of us make resolutions to save and end up giving up on them reason is we don’t set genuine saving goal. Unrealistic saving goal can leave you with nothing but disappointment. According to Forbes research one should at least save 10% of monthly income. Preparing and tracking expenses are precautions but setting saving goal and achieving it is the solution financial crises. Saving is the lifeblood of your financial health. Hysab Kytab helps you to build saving habit by offering you an option to set saving goals. For example you want to buy home you should tap Hysab Kytab’s saving goal option, name your goal, set target date and give a little description of your goal. You also customize icons.

Step No 4: Keep Going.

To stay financially fit it is imperative to maintain the consistency of all three steps tracking expense, setting budgets and setting saving goals. These three steps are equally important you cannot omit first step and come straight to second step it will break the momentum and will completely distort it. Just keep going is the mantra to keep financially healthy. Hysab Kytab encourages you and assist on every step of attaining financial fitness.

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Get Stick with New Year’s Resolution

New Year resolution is an annual ritual many of us make it and in a short period of time breaks it. But if you are willing to resolve this year to get your finances in shape, here are the six ways to do it.

1. Cut Spending

Budget yourself in the first place the best way to outgo your spending is to put it up to the budget. A good budget allows you to the breathing room and it is easy to set up. There is a popular and simple rule to budget your income the 50-30-20 rule. 50 percent of your income goes to essentials household expenses, whereas 30 percent goes to discretionary items likewise shopping, dining out and etc. whereas 20 percent goes to settling up debts and savings.

Moreover, the budgeting app Hysab Kytab helps tracks your financial spending, lets you to set spending limits and if you go over it sends you the alert.

2. Pay Debts

Sometimes it is good to go from small to large, reduce small debts first is more effective than paying off high interest debts as individual debts settle out more quickly and in the end you have the ability to see your plan more clearly.

3. Retirement Savings

Increasing your contribution to 1 percent in a year can helps you to achieve your retirement savings goals. Expert recommendation about the retirement savings is 15 percent of the income plus with the employer contribution. It is essential to set a retirement saving goal.

4. Set up an Emergency Fund

Try to set up an automatic savings account where you can automatically set up payments from your paycheck to a savings account.  Don’t worry about how many months of expense it covers.

5. Reap more Rewards

Earn back your money by getting promotions on different products and services. There are multiple companies which offer discounts and other promotional offers or earn a loyalty card from your most visited stores so you can earn points and gain reward in the future.

6. Health Cost

Save money on health as getting fitter saves a lot of health care cost. And there are plenty of ways in which you can get fitter, take good care of your health and cut down the cost likewise eating healthy and setting up the routine for regular exercise. It is good to join a gym, workouts makes you healthy and strong. Take part in fitness events and classes in your community in order to know how you can build a better and healthy environment.

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5 Ways to Save Money for your Dream Vacation

Planning for vacation this year now you can turn your dream trip into a reality with these money savings tips. This New Year you can make a list of destinations you want to go along with the resolutions.

Travelling doesn’t not have to break the bank even if your earning is moderate . There are certain steps to take in order to reach your travelling goals.

1. Invest in a Travel Fund

Make a travel fund where you can put your savings directly into the account, where you cannot easily withdraw from because it makes it easier to visualize goals. With new personal financial management applications like Hysab Kytab travellers don’t need to be a financial wizard.

2. Automate Savings

Automate the savings like investments you can deposit a portion of your income into your savings account so you can easily achieve your savings goals in time. The very first thing when you get the income is to save rather than budgeting and spending.

3. Cut your Expenses

It is important to know that where the money goes away figuring out the expenses is always the good thing it helps to distinguish where you are right and where you are wrong. Track your expenses in order to see where your biggest expenses are and where you can save easily or cut down the expense. You can also cut the services which is no longer required the more you save the more you reach towards your goal.

4. Invest in Retirement

Increase your retirement contribution when you get the chance. Don’t rush towards buying things whenever you get a raise or bonuses. Think before acting towards certain discount promotions. It will be much better to invest in retirement as it will help you to build up a better financial picture.

5. Use Rewards Wisely

Credit cards rewards are good way to make your dream happen don’t lose the reward of travel expenses through your credit cards as is an invaluable resource for the travellers. There are many stories regarding travelling the world just by earning and utilizing the points.

Get your plan straight choose a destination and get the Hysab Kytab app to set up a vacation goals.

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Retirees Make Better Financial Decision

Does getting older make you smarter, or does the time slowly corrode your cognitive abilities. There is a study by University of California at Riverside and Columbia University. In which the researchers tested a group of 20 something and people in their 60s and 70s in multiple fields of financing likewise from basic financial literacy to knowledge of debts and risk management and how the participants thought about their financial futures. Despite of getting old the older people perform better than younger ones in every element.

The research concludes that it is all because of change in the intelligence, older people perform better when the decision relies on recognizing previously learned patterns in a stable environment. It is also being learned that most financial decisions rely on knowledge, experience and previously learned patterns.  There are five certain areas where the older ones take control over younger people.

  1. Retired people have a better understanding of finance and debt because they possess greater knowledge about assets, loans and interest rates which leads them to make better financial decisions such as choosing mutual funds with low fees. Moreover they also avoid to have long term borrowing such as taking out payday loans or carrying credit cards balances and they also avoid other incurring financial cost such as high bank fees.
  2. Older people control their emotions better, they are less likely to buy at the top, then panic and sell at the bottom. They are more doubtful about jumping into the latest investments options and trends or buying on a hot tip. Retired personal are also less likely to get stuck into the financial bubble which is about to burst.
  3. Retired don’t panic about the irrelevant information being broadcast they simply avoid it. Likewise news about investment many younger people started freaking out even on irrelevant news because nowadays media put too much attention on the news of the day. Where older people are much aware of these trends and avoid it.
  4. A sense of limitation in old generation where young ones are always overconfident about being right all the time. Older generation have gone through some hard times and have more bitter experiences, same happens with the investments where the experienced investor know the frustration of hoping that a losing investment will somehow make a comeback when all the evidence says it will not. Experienced investors can take small losses and avoid complete disaster.
  5. Experienced people have more patience they know the ups and downs of finances and about investments so they don’t change their decisions on every twist of the financial winds. Older people choose to build slow and in a complete strategic way in order to get a win at the end.

Getting old does not mean you are out of the market they may lack intelligence but they have experience which make them win most of the time.

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Easy Ways to Save Money

Money we all love it isn’t it?

Getting worried about the money can make you sick, it can affect your brain, added stress in your life and takes your life to a strange end. But the thing is it is not the money fault, we all make dumb mistakes when it comes to money and we are not even aware of those mistakes. There are some powerful tips which can save you some money.

“On Sale”

Never get into the trap of on sale sign as it will lead you to spend more rather than save. More importantly check the price not the discount and do some research before getting your hands on the sale. Savings on something which you don’t need is a big mistake try to focus and differentiate on things.

“Bonus Pay”

Every penny counts and money is money it doesn’t matter whether it is your regular income or a bonus try to utilize the extra earning in an efficient manner. Don’t get too emotional on that extra earnings, people usually thing that getting extra is to likely spend on fun things but wait and watch you have more to take care off.

“Use Cash”

Making use of cash and handling it hurts. Right but making use of cards is worst and the biggest culprit is the credit card. Studies have shown that by using credit cards people are more willingly to pay and make bigger purchases and more importantly they forget that how much they spent. It is better to use cash and use that credit card on rare occasions.

“Get Hold on your Temptations”

Try to create a barrier against your future temptations, eliminate the free will. You can save a lot by shutting of your temptations and automatically deposited savings account can increase your savings up to 80 percent.

“Do your Research”

Do your research before going to buy something especially something big like car or finance a house. Do the research to find out the real market price and what people are end up paying for that particular item. Having a rough idea in mind regarding the price and its value will make it harder for the outsider to influence.

Review your spending habits and solve your common problems with the money and learn to make smart choices.

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Selling Off Mutual Funds

The money invested by you in Mutual Funds now you need to pull out in order to fulfill your investment purpose. Before taking the exit decision there are few things needed to be considered.

It is highly recommended by the experts that hold your mutual funds investment for a long time until some unforeseen circumstances needs to be met with immediate financial liquidity from the asset class. It is due to fact that people pull out their money when they face any short term loss or gains but this could result in a heavy loss after all.

If you are in equity mutual fund investment, better you switch to a safe debt fund category before the maturity to avoid any abrupt losses if the market goes into the declining spree at a time when your mutual funds are about to get matured.

There should be a performance check before you sell of your investment. In case of short term losses there is no need to sell it off. Where there is a case when you are in continuous losses for about a year or so and there is nothing about the revival of the investment than you definitely needs to exit the investment.

The best advice is to keep a portfolio of 4-5 mutual fund schemes, having too many schemes will make it difficult to keep a track of the fund performance and you can also sell off the extra schemes that you do not suiting your overall portfolio.

You can also sell off your mutual fund holding when your financial portfolio twisted away from the decided on asset allocation plan. Moreover mutual funds schemes about to change as there are a change in investments pattern so it can be more likely chance that one scheme merges off with one another.

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Wrong Mutual Fund Investment

­­­The Mutual Fund fee can clean away all your retirement savings. So it’s better to consider the fees when investing in mutual funds because there is class system in the investment portfolio. Mutual funds are divided into share classes and every class has a different fee. In Mutual funds same funds with same manager, investment holdings and performance may come at a different cost due to the class level of the investment.

There is an annual fee for the mutual funds which is taken out from your investment each year and all mutual funds carry expense ratio. Expense ratio is charged as a percentage of your investment and the amount varies by the fund. The mutual fund share class shows that how a fund rates a sales charge. The cost is paid by you to the investment advisor or broker as a commission. There are multiple ways through which mutual fund sales charges can show up like upfront cost when you purchase the fund and a fee when you sell the fund.

Paying up the mutual funds fees is one of the biggest drains on your retirement savings. In order to keep the fees on your mutual fund investment low you must consider the expense ratio and load charges before you invest and don’t assume that an investment is inexpensive, even if offers a good value. Often the lowest cost options are index funds, exchange-traded funds or open-end mutual funds, which can be bought directly from mutual fund company.

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Reasons to have a Budget

Multiple reasons to have a budget, if you are not following the budget than you are not managing your money correctly. Without having the budget than there is no way through which you can know that how much you are spending each month and how much can you save from your income after the expenses. In order to meet your financial goals, you need to track of the money and you need a budget to effectively manage your money.

1. Avoid Debt

It is not strange that people nowadays are trapped in debts and lots of debts most them are due to the credit cards they use. Through the use of credit card people purchase more than they can afford and this lead to them in a huge amount of debts and interest to be paid. And that’s the big problem because every day the debt increases and you get trapped deeper and deeper. But if you create a budget you will have a clear image of how much you can spend and how to allocate resources and when you can reached the limit of the budget.

2. Improve savings

People are in a savings crisis but if you are serious about having savings then you have to make a budget. First, map out all of your expenses and compare them to your income it will give you a sense of how much savings potential you have. If the budget doesn’t help you it is better to identify ways to trim your living expenses and free up your money for savings.

3. Being more Financially Responsible

The reason to start using a budget is that you want to get a better handle on your finances overall. It is a matter of fact that situation don’t remain same. So if you are having savings yet it is still important that you maintain the budget because circumstance might change and your savings might get depleted and you might get in a position to get a credit card and stuck in credit crunch because you don’t have enough money to pay your expenses.

Budget helps you to take your finances seriously and handle them more responsibly so that for example your bills go up somehow you have enough in the back to save your back and don’t fall in the credit trap. Overall it is every time it is good know where all your money is going, you can also keep an easy track of all things if something messed up all of a sudden.

Start now and make a budget list your expenses and setup savings goals. Creating a budget is very easy it doesn’t require much time and for your ease you can get Hysab Kytab app to simplify your life. The sooner you start creating the budget the sooner you start reaping the benefits of it.

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5 Investment Moves to make in your 30’s

Twenties is the time when a person learns money habits, whereas there is also a time to start taking investment decisions. These investment moves in your 30’s will have a good impact on your finances in the future so it is better to start early investment.

Here are the five investment moves to make:

1. Select Financial Goals

First of all select your major financial goals so you can have a clear idea that what you want to achieve through investment. The best thing is to focus on the important things you want to get done financially. It is really important to select the particular goal because too many ideas can affect your focus.

2. Emergency Fund

Another major thing to do is to put some amount of money in your emergency savings fund, because money is never enough that is why keep savings because time changes and so does the circumstances. It feels like you have enough amount of savings but a change in situation can wipe it all off so be prepaid about it.

3. Retirement Savings

Start early savings for the retirement so that you can invest more in the future contribution to retirement fund is always beneficial and it can also help in early retirement plans.

4. Invest in Stock

You have to learn about the investment in stocks and bonds and if you already know then go ahead and invest in stocks as early as possible. Although there is a risk in investing in stocks but it is worth a try and the best thing is to look for a good financial adviser who guides you regarding the investment.

5. Invest in Real Estate

If you are not interested in the stock market and wants to avoid the losses then consider investing in the real estate sector as investing in real estate is a bit less risky than the stocks and there is also a huge potential in the real estate market but beware you should be familiar with the real estate industry before venturing into it.

The Earlier you start the longer your money has to grow.

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Wedding Season

Wedding season is going around, and all those who are going to tie the knot is worrying about everything from arrangement of the event to paying for each very piece of the wedding. But it is more important to take a step back and look around finance as weddings aren’t cheap and you have to decide how much you can spend and how you can save.

1. Sharing of financial situation

Before the celebrations of the big day, it is important that you share your financial situation with your partner. It can’t be really about only wedding finance but it should include about your debts, income, credits and any other financial issues because it’s better to find out ahead of time.

2. No vacations for finances

Be prepared about your financial plans, after getting married it is significant that you don’t have bills to be paid. Just sit around and discuss your needs as they come up in as much details according to your needs. Honeymoon is a great phase for the newly-weds but life still happens and finances comes around.

3. Discuss about finances

Conversation about finances can easily open the door for the couple to talk and have a discussion about your post wedding money matters. If you two are not regularly have a chat about finances than there will be a lot of trouble in money management. Find a good time in a week to have a conversation about your spending, budget and savings.

4. Partner views about finances

It is good to know your partner and their spending habits. There are number of things to consider likewise the amount of savings for both of you, and where you both going to invest your extra money. Spending money without planning will lead make you vulnerable it is necessary that you talk about how to use it.

5. Share the finances

The simple act of sharing the financial task can make things easy both of you as family and economic issues occurs and affect the financial situation and once the problem arose it typically disrupt the balances. Keep an eye on what and where the money comes from and goes, decide what and how much to pay, divide household expenses and watch over any extra expenses.

6. Budget

There will be a rapid change in monthly spending habits but the decision for savings like retirement, investment and setting up goals for the future does not change all that often. Be prepare and get hold on your finances don’t let them drift away in an inappropriate manner make a firm decision on budgeting and plan your future accordingly.

7. Be Satisfied

It is good to be satisfied with what you have and spend within the budgeted amount. Live and enjoy with the money you have don’t waste your happy moments on seeking more and more. if you are satisfied on what you have and live happily with it than the desire for unnecessary things will fade away.

Hysab Kytab helps you to set up your budgets and goals in a smart way, it is a time tested solution which provides you just not only to set budget but also track your expenses in different category breakdowns and help you to identify in the exceeding of the budget. It also helps you to set up future goals and how much you can save to achieve that goal.

Well, you need any advices regarding the finances, want to have a fresh financial start along with your marriage. Don’t hesitate get the Hysab Kytab app now and set your finances on a right track.