How to plan your salary income reasonably?

Salary planning really cannot be ignored. No matter how much your monthly income is, whether it is one or two thousand or tens of thousands, through rational management and investment, over time, you will see unexpected results. Therefore, salary financial planning is not about whether you have more or less money, but how to distribute it! Next, Yang Kaijun will talk about it in detail.

Usually when we make income and expenditure planning (salary planning), we mainly refer to the "4321 Law", that is, 40% of the annual income should be used for housing and other investments, 30% for living expenses, and 20% for living expenses. Use it for bank deposits in case of emergencies, and 10 for insurance. However, who has not lived through those years of poverty? For most white-collar workers in the workplace, the "4321 Law" may not be put into practice for the time being. So at this time, the two rules we need to resolutely implement are: No matter how hard it is, We must also insist on saving money; in addition, the proportion of rent and various consumption in monthly income requires us to flexibly control and continuously optimize.

In addition, before making specific salary planning, we must have a clear understanding of our financial situation, including monthly income and expenditure, annual income and expenditure, current asset status and investment status. If you have the habit of keeping accounts, you will find that this part of the data is easy to extract, but if you do not keep accounts, you must organize and inventory your assets, and then keep accounts for a period of time to figure out your own Income and expenditure status, so that you can proceed to the next step. Because all these data are the basis for income and expenditure planning, they must be true and accurate.

Then now, we will start to make specific income and expenditure planning. Children’s boots should carefully record the following 9 items:

1. Savings: This is what we must What you need to do is to establish an emergency reserve fund and develop the habit of "forced saving" regardless of the level of income or the amount. A portion of the funds should be deposited into a special account immediately after each salary is paid. Of course, this portion of the funds can be invested in currency funds with strong liquidity. It should be noted that the amount of the emergency reserve is usually our living expenses for 3-6 months.

2. Food rations: We need to know how much we spend on food every day and every month. Of course, this also includes expenses such as drinks, fruits, and snacks. We should have a clearer amount regarding the cost of rations.

3. Daily expenses: including transportation, water, electricity, coal and fire, mobile phones, Internet, cars, pets and other trivial expenses, which also require a clear monthly budget.

4. Credit card debt: Although using credit cards for consumption is much more affordable and convenient, the interest on overdue payments is also quite high, so be sure to record your debts in advance and don’t forget to repay them on time.

5. Entertainment expenses: expenses such as eating with friends, singing, entertainment, buying gifts, and participating in weddings. It is recommended to establish a "social fund" from which such expenses are withdrawn, and set a warning line. Once the expenditure exceeds the warning line, it is time to reduce wasteful activities.

6. Cost of dressing up: clothes, shoes, bags, skin care products, makeup, perfume and all kinds of small items that make people want to stop. For this kind of items, it is usually difficult for us to resist the temptation, so we must plan a part of the funds in advance to satisfy all kinds of little desires to be beautiful. Otherwise, when we can’t help but "spend money", the financial plan for the month It will probably be ruined.

Tips: The sum of parts 2-6 is our "consumption expenditure", that is, "money given to others". It is recommended that this part of the expenditure should be controlled within 50 of the monthly income.

7. Rent or mortgage: As a major item of expenditure, even if the rent is paid quarterly or annually, we still need to spread this expense equally to each month, and it cannot affect the rent payment or repayment. Financial plan for the month of loan. The ideal situation is that housing expenses account for 20-30% of monthly income, but for young people, this ratio is acceptable within 50%.

8. Insurance: Although the five insurances and one housing fund provided by your employer are essential, they cannot completely offset your losses in the event of illness or accident.

Appropriate accident insurance, medical insurance, and critical illness insurance are very responsible care for ourselves and our families. Therefore, while you have no worries about food and clothing, you must be prepared to pay an annual insurance premium and spread it evenly into your monthly income and expenditure plan. In addition, when purchasing insurance, you can refer to the "Double Ten Principle", that is, the premium should account for 10 times of the annual income, and the insurance amount should be 10 times of the annual income.

9. Investment: This money is your guarantee for financial management and wealth. It is recommended to invest in areas that you are familiar with and confident. Note that it is best not to include the income from investment in your income for next distribution, otherwise it will easily disrupt the existing financial plan; it is best to continue using them as investments, so that they can help you bring more benefits. While earning more, your financial plan will be completed more smoothly. The investment amount should be at least 10% of the monthly income, otherwise it will be difficult to achieve scale. If the investment amount is too low, it is better to save first and then invest when you have accumulated a certain amount of funds; if the funds are relatively abundant, the investment proportion should not be too high. You must do what you can. Remember to control risks and always invest. First priority