If you are the kind of person who needs a guide to understand your finances, we recommend you the following steps:

1. Determine your expenses.  Use a notebook or an electronic program for your personal finances, in which you enter every month your earnings and expenses, either fixed or variable.

2. Control your expenses. Determine which expenses are essential and which are not, than put the non-essential ones (like going to the movies, restaurants and extravagant items) on hold while you evaluate your budget.

3. Recognize your financial state. After identifying your earnings and expenses, you will be able to evaluate your real situation, and establish which expenses you should reduce or eliminate to achieve your desired goals.

It is never too late to start planning your future. When you are paying for everyday expenses like rent, food, transportation, power, telephone and other services, the idea of saving money seams impossible. However, if you pay more attention to your finances, you will be able to assure your financial future.
A budget will help you identify and control your monthly earnings and expenses. 

If you start taking basic steps to carry on a budget, you will be able to identify how to start saving for future necessities, like your kids’ education, your retirement, or vacations. Budgeting requires effort, but it will allow you to see how your money is spent, and that is the first step towards controlling your finances.