Your fixed expenses such as rent, car insurance, mortgage and utility bills can be lessened a little, but for the most part it will stay the same. However, do not forget that a little of everything goes a long way, so try to lessen on these expenses as much as you can. Small savings will add up. If you can bring lunch from home, your savings will be about $5.00 a week. Here is a simple spending system that can greatly help your personal finance budgeting: - Create a personal finance budget that you can use - Save 10% of your income - Always know exactly how much you have left to spend - Instantly know the impact of every spending decision - Track all your purchases - Pay your bills on time - Effectively manage credit card spending Many people create a financial budget based on other people financial worksheets. As soon as you record in details your financial situation, the software will guide your way out of the debt trap you are trying to get away from. Budgeting software companies offer technical support and promises that mathematical problems about budgeting are a thing of the past. Budgeting software empowers individuals and organizations to plan, analyze and manage money in real time for better performance. Write down in your budget pad or software every debts you have, even the small ones. Number them according to importance. Between a house mortgage and a car mortgage, label the house mortgage as 1. Then study your budget pad. Could you cut down expenses on utility bills or transportation? If yes, how much would it raise to add up to fund the mortgage? Another problem that goes against your household budgeting is that most consumers overspend because they buy things on impulse. The next time you are tempted into making an impulse buy, ask yourself the following questions: - Should I spend my hard earned money on this? - Can I afford to buy this? - Do I need my money for something else more important? ASK FOR DEBT RESTRUCTURE OR AVAIL OF AMNESTY PROGRAM Take advantage of the amnesty program that banks and credit card companies offer. Most especially for the credit card companies, they offer payment of principal amount less the padded interest. This will help make budgeting and managing your debt easier.