“Easy money” – is there such a thing?
Data published by the Central Bureau of Statistics in December 2019 show that 42% of households with bank accounts were in overdraft for at least one or more months during the year. It can be assessed that the next round of data, which will take into account the coronavirus crisis, will be even bleaker.
Many of us are looking to increase income and make “easy money”. It is not for nothing that the phrase “income from home” yields close to 6.5 million results on the Google search engine. Many publications promise lucrative work from home with minimal investment of time, but do these festive promises have any real coverage?
We at Paamonim do not believe in cash being showered from the sky, but we certainly know, from the experience of tens of thousands of families we have accompanied, that thousands of shekels can be saved every month through calculated and wise conduct. So yes, the process is not simple or easy, but it certainly pays off.
How to make money without leaving home?
- Mapping expenses and income – we will collect salary slips, bank and credit statements, details of standing orders and loans. Calculate what is the total amount of expenses and income, and whether there is a gap. If the gap is negative, meaning that there are more expenses than income, it means that we live in an unbalanced manner and increase our debts every month. Multiplying this average monthly gap by 12 will reveal the annual deficit that will accumulate if we do not change economic behavior.
- Building a budget – After we have thoroughly known the expenses and revenues, we have the basis for building a budget that will bring us to the desired balance. A budget is the tool used to determine the economic goals of the family unit, on a monthly average.
The construction of the budget is carried out in several stages: setting priorities; compilation of an initial budget; inspection and control; Amending and improving the budget. - Managing according to the budget – The secret to maintaining the family budget is an orderly process of recording all household expenses and income, as well as daily monitoring and monitoring of them. Only strict registration can lead to control and control. There are no shortcuts. It is recommended to manage the registration in an organized Excel table and those of you who do not yet know how to work with the software, can enter this link and learn Excel for free.
- In addition to regularly recording expenses and income, you can save hundreds of shekels a month by canceling subscriptions you don’t consume (a newspaper you don’t read, or a gym you no longer visit); price comparison and bargaining for existing services; cancellation of double insurance; Wise purchases that are not made on impulse but according to real needs, and more.
We emphasize once again that the steps detailed here are not easy and require learning and perseverance, but despite the difficulty, it is worth remembering that the return for effort is guaranteed and after we internalize the method, we will receive a reward for our labor, we will feel immense satisfaction, and more importantly: we will gain control over the management of our household.
You’re not alone!
Paamonim accompanies and assists thousands of households a year through the process successfully, saving an average of NIS 3,800 each month. We invite you to contact us for guidance and financial advice free of charge with our volunteers and experts >> Fill out an application form and start saving.
