When you do financial planning, you must match your savings to your expenses. You will be free from financial stress if you continue to save and have surplus year after year. The strategy is to control your spending and be frugal, rather than spend away your savings in some simple life pleasures. Here are basic do’s and don’ts when planning for financial freedom.

Do

1. Monitor your spending and cash flow regularly.
2. Realise the difference between needs and wants for your family.
3. Clear your credit card bills every month.
4. Reduce wastage and over-consumption. Be selective about the many enrichment programmes available.
5. Discover the many free activities that abound, such as visiting nature reserves, parks and libraries.
6. Set a family budget for everything, including household expenses, holiday expenses and expenses for enrichment programmes.
7. Make plans to increase your family savings for emergencies.

Don’t

1. Delay financial planning for your family.
2. Overload your little one with lots of (costly!) activities that may over-stimulate him, kill his interests and tire him out.
3. Shop or buy impulsively.
4. Pamper children with branded goods.

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