You need to set aside money to pay for these things.
FLEXIBLE:These are the things that you don't necessiarical need. Fast food, pop, candy, things like that.
Friends:You need to get an savings account to live life with money :) So the first thing you need to learn is the difference between compound and simple interest.
- Compound-Compound interest is paid on the original principal and on the accumulated past interest.
*If you start with $500 and put in $50 every month and it is compounded annually with an interest rate of 5.5% you will have $48,343.63 in 30 years
- Simple-Simple interest is calculated only on the principal amount.
*If you start with $500 and put in $50 every month and it is simpled annually with an interest rate of 10% you will have $20,5000 in 30 years
Remember spending is good if you have the money, also having a savings account can save your butt.top things to know-
The interest calculator
http://www.moneychimp.com/calculator/compound_interest_calculator.htm
http://www.ehow.com//video_4767850_identify-expenses-as-mixed-fixed.html
video about expenses. its about businesses but its basically the same thing for personal. Its the link above
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