HOW TO SPEND YOUR FIRST LUMP SUM SALARY (NEWLY TRAINED TEACHERS)
“Had I known is the language of the fool”. You are now accountable to yourself with regards to how you earn and spend money. Below are some selected guidelines that will help you to spend your first lump sum salary wisely. 1. DRAW A BUDGET: The cliché goes like ” If you fail to plan, you plan to fail”. Life can be well lived only when it is planned well. What do you intend to use your salary for? Take a few moments and write them down. It is called ‘budget’. Budget writing has two most important components, i.e. INCOME and EXPENDITURE. INCOME is best described as the inflows: where and how will you get your money? Don’t settle for your salary as the one and only source of your income. On the other hand, EXPENDITURE is also best described as an amount of money that is spent on something. The things you spend your money on can further be grouped into NEEDS and WANTS. Your needs are the things you can’t live without while the things you can live without are your wants. For ins...