The sweetness of having money is to how to budget them. You maybe having slot of money but in deed you are poor. Whenever the amount of debt overdo the your debts then you must be bankrupt. Bankruptcy leads to insolvency, where one is unable to meet his obligations on time. Most kenyans people are working on deficits because they have no proper budget of their money. Incase you have be struggling on how to avoid debts here is the strategies to follow;
1.Put your priorities right.
Putting priorities right means arranging your needs from the most important to less important one. You should save Good money for essential things such as shelter, investment, food and education. Never allow luxurious thing to waste your money. Some of these luxurious things never creat satisfaction and you will need them whenever you see them.
2.What you can’t afford do without.
Live according to your standards and avoid copying other people lives. What you can’t afford just do without it, the pressure to try alternative means rather than work to get luxurious live is a temptation. If you have to get it then work for it and stop getting loans for non profitable things.
3. Have a budget.
A budget is an estimated cost of what you want to buy and the corresponding quantities. You can’t wake up and go to do shopping without making a budget. This will lead to overspending on other things which are not in your priorities.
4. Avoid overspending.
5.Pay with cash whenever possible.
6.Stay within your spending limits even if your salary is increased.
7. Compare prices before making major purchases
8. Take only the cash with you that you can afford to spend while shopping, and spend only that cash.