It’s your money, so it’s important to keep track. These are the essential skills you need.
To be a good money manager, you need to keep accurate records. It’s up to you to keep track every time you put money in and take money out of your accounts.
Every time you make a transaction at the bank or ATM, you’ll receive a receipt. Be sure to save your receipts and write the information in your transaction register. That’s a small notepad you’ll receive when you open your account. Add your deposits, subtract your withdrawals, and keep track of your current balance — the exact amount you have in your account right now.
Keeping track will help you avoid spending more than you have in your account. That’s called an overdraft — and the fees and penalties can be expensive.
At the end of the month, the bank will send you a statement. It lists your balance at the beginning and end of the statement month, and all of the transactions that the bank has processed during the statement month.
Every month, review your statement along with your register and your receipts to make sure that your records and the bank’s records agree.
And if your bank offers online banking, you won’t have to wait for your statement to review your account activity. Online banking gives you access to review your accounts any time.
The keys to account management:
Save your transaction receipts.
Record every transaction in your register
Avoid spending more than you have.
Review your statement every month, or at any time if you use online or mobile banking.
Make sure your records and the bank’s records agree.