This is because those who do not have control over their finances can end up spending more than they receive, compromising their income and eventually sinking into debt.

Without proper organization, in addition to plunging into debt, you can turn them into a 'snowball', which often becomes very difficult to pay off or which can end up compromising your equity.

In this way, you not only harm your own finances, but even your personal relationships with family and/or friends.

Therefore, to prevent all of this from happening, you need to invest in effective financial control of your money. This helps you to worry less at the end of the month, in addition to other advantages, such as the possibility of investing and multiplying your capital, taking a trip, changing your car, etc.

So, to help you on this journey, we've separated some extremely valuable tips for you to know how to organize your finances effectively.

This is the most important piece of advice of all, as none of the following tips will work if you don't have the discipline to organize your finances. Following the plan outlined is essential. 

By that, we mean that you cannot give in to the temptations of consumption that arise all the time. Quite the contrary: you need to stay permanently focused on your financial goal.

Setting aside a day to draw up a budget is essential to organize your finances, so it is necessary to analyze fixed expenses, such as house or car payments and school fees — which always have the same amount — in addition to variable expenses, such as the energy bill. and water, which change according to consumption. To make it easier, make a table with all these elements: fixed expenses, debts, payments, occasional expenses. 

Also write down all your income, such as salary, receipt of rent, eventual earnings, etc. Note: it is essential to know exactly how much you actually earn per month: do not consider the gross salary, but the amount that actually enters your checking account after discounts such as transportation vouchers, income tax, etc. Also consider extra income.

Before consuming, take a good look at your available budget. It is crucial to know how to separate what is important and really necessary from what is just superfluous.

Therefore, it is essential to assess whether the purchase is really out of necessity or impulse. That way, make the decision using reason and not emotion. Try to program yourself to buy a certain good. Thus, you do not go into debt to purchase the product or service.

There is no organization of personal finances without savings. It is the capital reserve that allows the person to face emergency situations or seasonal crises. Consider the task of saving 10% to 20% of your monthly income as a commitment.

But this tip may seem too obvious, right? However, many people prefer to spend what's left at the end of the month instead of saving, because they think that the money left is too little to save.

If you have that same thought, know that the economy cannot be made only with the money left at the end of the month. It must be an objective, so that you not only monitor your expenses but also have a financial projection.

To do this, you can determine a monthly amount to reserve and, when you receive your salary, immediately separate that amount in a different place than the account you use for daily expenses. Having goals is essential to encourage yourself to save more and more and to achieve the established goals.

To achieve this goal more easily, create the habit of frequently monitoring your statements, identifying exactly how much enters and how much leaves your account.

This lack of financial organization can lead to the inability to pay your bills, which leads to interest payments that are usually exorbitant. In this way, you create a 'snowball' in a way that it can be very difficult to reverse this situation.

From the moment you know your expenses and income, so that your expenses are always lower than your income, the task of spending less than you earn is much simpler and, consequently, fulfilling the previous topic.

If you are still having problems regarding the previous topic, this tip can help you a lot.

Many people don't realize how harmful these expenses can be, so be aware of them. That way, it will be much easier to have a more organized financial life.

Making these cuts a habit will increase your chances of having money left over at the end of the month and will also help you fulfill the “Save” topic.

Even this spending cut may seem like you should give up small pleasures, in practice, that's not how it works. Often, cooking something at home, in addition to helping you save money, can be healthier for you.

It is also extremely important to pay attention to the credit card, as it creates a feeling of purchasing power by offering the facility to pay in installments, often without interest.

However, people can end up deceiving themselves and thus anticipate purchases of things they really don't need.

Whenever possible, prioritize cash payments, as giving preference to cash payments, in addition to providing discounts, helps with personal financial planning by not creating installments to be paid in several months, increasing the chances of indebtedness.

As previously mentioned, the credit card must be used with care so that all its benefits can be enjoyed and it becomes a good tool for consumption and for personal financial planning.

Tip: choose to purchase cards with no annual fee and with programs that benefit your customer, such as cashback, miles program, additional services, etc.

If you're part of the group that doesn't have any debt, great, keep it up! Organizing your finances minimizes the likelihood of contracting them in the future. 

If you have them, don't push them with your belly. Put everything you owe on paper and set a deadline for discharge of values. 

A very important tip: paying the debts with the highest interest will prevent everything from turning into a snowball, so if you are in debt on your overdraft or credit card, prioritize the discharge of these debts.

If you want to know more tips like this one to know how to settle your debts in an effective way, click here to have access to our complete blog on the subject!

Another important point to have an organized financial life is to create an emergency reserve. Experts indicate that the ideal reserve corresponds to the amount you need to maintain for six months.

This money saved is intended for emergencies, as the name implies, and prevents you from having to resort to expensive sources of credit, such as a card and overdraft, in times of desperation.

This may seem boring, or even boring, but know that increasing your knowledge about financial education will help you a lot to keep your finances organized

As we know, conventional education in Brazil leaves much to be desired when it comes to finance. Topics such as interest rates, inflation, investments and consumer psychology are only studied in specialized courses.

Know that, in addition to learning how to make money, it is essential to know how to use it properly. After all, what's the use of earning well if you spend it all? Therefore, do not underestimate financial education, as it can help you a lot to build and preserve your assets.

For this, there are several FREE courses of extreme quality spread around the internet, so there are no excuses to start.

By involving your family members, the practice of organizing finances will be much easier. It is critical that all members of the household work together to help keep spending and organization in check.

Make sure family members know what the real financial situation is in the house and what costs should be reduced in the budget, so BE TRANSPARENT. 

Changing habits is much easier when household members share the same goal.

To save and thus keep your finances in order, you need to have a lot of focus and discipline, so always try to resist the invitation to happy hour after work or watch your favorite band perform, as this momentary pleasure can represent an immense headache in the future. So limit spending on fun.

However, this does not mean that you should give up your social life, as it is perfectly possible to strike a balance by setting a spending limit for each event. In addition, there are many free or low-cost programs to do.

There are several financial and spreadsheet applications available on the market that can help with this task of organizing personal finances in your daily life. There are numerous app options that will help you monitor your spending, expenses or even your goals.

This will allow you to identify which amounts are being spent unnecessarily and thus be able to cut them. The important thing is to learn to control finances, save and take better care of your income.

Although financial control is a duty of all citizens, when you are also a legal entity, you need to be more careful.

So, pay attention: if you are also a legal entity, know that it is of great importance to know how to separate your personal accounts from your professional accounts, and this goes beyond the question of getting organized.

If you don't follow the tip above and end up using your personal income to pay off corporate debts or vice versa, you could suffer serious consequences, for example, the impossibility of organizing both your business finances and your personal finances.

That's because, every CNPJ must carry out the bank reconciliation, which is the verification of the bank statement of the PJ account with the declaration of entries and exits of the company. When mixing personal and professional finances, the account does not close.

So, to avoid this problem, the ideal is to open two different bank accounts: one for individuals and one for companies. With this, you prevent the bills and income of the two from mixing.

A very common mistake on the part of people who want to organize their finances is to worry only about monthly expenses and fail to consider annual expenses, such as IPVA, IPTU and insurance.

Such expenses end up becoming a problem when they are not included in the financial organization, since, if you do not plan to pay them, you may be surprised and end up going through a hard time when they arrive.

For this reason, it is appropriate to reserve an amount for these expenses during the year. One idea is to separate a specific amount every month for them.

Many people believe that financial services such as life or car insurance are synonymous with throwing money away, but financial products often have great importance in managing personal finances.

For example, if you are involved in a car crash, and you don't have any insurance, you will have to pay a cost that was not foreseen in your plans.

If you don't have an emergency reserve, you'll probably have to get involved with debt or emergency loan agreements that may have higher interest rates.

These major unforeseen events can have a huge impact on your finances, further delaying their organization.

Already making a hook with the previous tip, use all the financial services you have hired.

Life, home and vehicle insurance usually offer extra assistance such as a locksmith, electrician, etc.

Although we only associate these services with emergency situations, they can help us save a lot of money and can also avoid a big headache. Therefore, be sure to use all the services that are at your disposal.

Every month, checking how you are doing will make you evolve faster in this process of organizing your finances.

Always analyze whether your finances are behaving as planned. And if not, do a reassessment and see what needs to be changed. That way, you'll realize what's wrong much sooner. 

To keep you from losing focus on your goal later on, it's important to think about your future.

If you work with a formal contract, you will certainly have a social pension, but it is not possible to know for sure whether it will be enough for your expenses and needs in the future.

There are several ways to secure an extra income in the future. The first form has already been mentioned here before: the emergency reserve. The other way will be cited and explained in the next topic.

To be able to manage your savings smartly, you need to make it work properly. Because, as previously mentioned, there is no point in accumulating a financial volume, if it is to leave it in a savings account, for example, and run the risk of losing money to inflation in the long term.

Therefore, it is very important to think about allocating your money to investments that provide you with returns consistent with the risk taken, always keeping in mind what your financial goals are.

If you have a bolder investor profile, it is important to give preference to riskier investments, such as investing in stocks and/or real estate funds.

On the other hand, if you are more conservative, it is recommended to opt for more stable and secure investments, such as fixed income (Tesouro Direto, CDB, etc).

But remember: investing incorrectly in variable income can result in capital loss, so, first of all, study, understand the market and the business, check the performance, analyze each company before buying it, and always have the mentality to become partner of big companies.

IMPORTANT: don't forget that you should only think about investment diversification when the emergency reserve is already formed.

Finally, we saw in this blog that financial organization is directly related to discipline and good habits practiced by those who aim for a more organized financial life.

We've also seen that having control of your personal finances is the first step to taking back control of your financial life. That's because, the most important thing is not necessarily how much money you earn, but how you handle the money.

In addition, we emphasize the great importance of starting to control your expenses, cutting unnecessary expenses, spending less than you earn, saving, forming an emergency reserve and investing.

That way, if you put these tips in this blog into practice, you will soon realize how fundamental they are to achieving the dreamed financial freedom.