Benefits of Using a Monthly Bill Organizer

28
May

Getting organized is the first step to getting your personal finances under control. A monthly bill organizer can help you stay on track, pay your bills on time so your credit score doesn’t take hit after hit from late payments, help you avoid late charges, stay on budget, pay down debt and start saving money.

It is so easy to forget to pay a bill when your organizational system is non-existent. A pile of monthly statements jumbled together in a drawer is not an efficient way to operate, and yet that is what many people rely on. Then they get busy, get distracted, lose a statement or forget to pay, and end up paying more because they missed that due date. Monthly bill organizers will help cut down the clutter and make life easier. They are easy to set up, easy to use, and are worth the little bit of time it takes to get started.

There are several monthly bill organizers, from hand written ledgers and envelope systems to more advanced online options with email alerts and notices. Consider them money management systems, tools to help you take control of your money.

The first and most obvious benefit of using a monthly bill organizer is that you are implementing a system to make sure you pay your bills on time. Not everyone has the cash available to pay bills as they receive them. Instead, they file them away and try to remember to make the payment on time. Some people are successful with this, but the chances for error are higher when you try to keep everything in your head.

Paying your bills on time means you can avoid expensive late charges. Late charges don’t look good with your creditors and can result in higher interest rates, which means any debt you are paying will be that much more expensive. Making on-time payments can also protect your credit score. Even though most people are trying to get out of debt, the truth is everyone needs credit at some time or another. Whether it is to buy a car, buy or rent a home, or even get a job, a good credit score is a must. A habit of paying on time will pay off with a higher personal credit rating.

A monthly bill organizer gives you an at-a-glance picture of your finances. Beyond tracking your monthly payments, it can help you stay on budget and make sure that you have money available when you need it for household expenses as well as your bills. If you haven’t set up a budget yet, your organizer will just accomplish that task for you. You will be able to add things like groceries, clothing, gifts and home or car repair items to your monthly bill organizer, as well as budget in money to deposit into your savings on a specific day of the month. Enter all of your monthly expenses into an organizer and you will know just how much money you have available for emergencies, to make extra credit card payments, or to take the family out for dinner or a movie. In fact, you can even use your personal money management system to budget in extra items like entertainment and putting money into your emergency fund.

You may cringe at the thought of setting up and sticking to a budget. It may not seem like an easy or enjoyable task, but it is a necessity of life if you want to stay on top of your finances. A monthly bill organizer is a very easy to use budgeting system. You may choose a simple ledger and envelope system to keep track of your bills, you may decide to create a spread sheet on your computer or use one of the many online monthly bill organizers. It can be as simple or as detailed as you want it. But it is must-have. Once you have organized your monthly expenses and bills, you can enjoy the peace of mind that comes with knowing you are taking responsibility for your money.

This post was written by

jason – who has written posts on Budget Clowns.
Father of three and married to a lovely women. Always looking for ways to save money, and invest it properly for my children's future.

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