Savings

A lot of people fail financially simply because of not saving enough or not saving correctly. Many experts suggest the 50/30/20 saving method. 50% of your after-tax money should be spent on living necessities, 30% on wants, and 20% on saving and retirement plans. Specifically, of the 20%, 10-15% should be reserved for retirement accounts, and the other 5-10% on emergency funds. Another good, and surprisingly simple way to prevent overspending is the envelope method. All you do is keep your cash in envelopes for different purposes. Groceries in one, bills in one, wants in one, etc.