To establish how much credit we can ask, so that it allows us to fulfill our projects without becoming a burden, we must carefully record our budget. So we will know our debt capacity so as not to exceed it and be able to make our payments on time and that the credit does not turn out to be counterproductive.
We will begin by determining how much we can pay each month. For this we will carry out a planning of our personal finances, where we will know in depth our income and expenses. With this we are going to draw a consumption pattern that lets us see how much debt we can afford with our income.
For this we start by adding the fixed costs, that is, those that cannot stop being paid each month such as rent, food, transportation or gasoline and services, among others.
After knowing how much money we constantly spend each month, we establish a percentage of what we have left of the monthly income to define as debt capacity. This percentage is recommended to be set between 30% and 35% and the amount we get from that calculation will be such capacity.
–
Therefore, if our salary is 5,000 pesos and when adding the unavoidable expenses of the month (or fixed) these amount to 3,000 pesos, the remainder is 2,000 pesos. If we decide to take the 35% percentage on that remainder, we will find that our debt capacity is 700 pesos. This way we will know that the total debts per month that we can pay should not exceed those $ 700.
Now what can we do with the money that remains? Find a specific purpose for it, so that we can start saving. Two things are recommended, first to have savings for unforeseen cases or emergencies and thus not have to resort to an unplanned debt that takes our finances out of control.
The other part of the remainder could be used for savings that allow us to buy those things that motivate us the most, such as a down payment on a house, a car or some tastes without resorting to loans in advance. And it doesn’t hurt to think about retirement and make voluntary savings at afore.
Read Payroll advance: is this debt convenient for you to finish your fortnight?
Try it, be the one in charge of your finances, keep track of your expenses and plan your monthly budget to keep debts under control. You will find expenses that you can avoid, especially if you find the incentive to allocate money to some savings that motivates you.
Find more information about this and other topics in the Credits section of My Pocket.
– .
