Bay Cities Credit Union

09/01/2026

08/31/2026

𝐀𝐝𝐮𝐥𝐭𝐢𝐧𝐠 𝟏𝟎𝟏: 𝐇𝐨𝐰 𝐭𝐨 𝐜𝐫𝐞𝐚𝐭𝐞 𝐲𝐨𝐮𝐫 𝐟𝐢𝐫𝐬𝐭 𝐛𝐮𝐝𝐠𝐞𝐭

When you were a child, your parents may have given you an allowance or at least the chance to do household chores and earn a bit of money. Now that you are an adult, mom and dad are no longer your primary source of cash, so managing money is even more critical.

The personal budget is the cornerstone of every sound financial plan; without one, it will be hard to move forward with your adult life. Budgeting is all about knowing where your money is coming from and where it’s going. Here is how you can get started.

𝐒𝐭𝐞𝐩 #𝟏 – 𝐅𝐢𝐧𝐝 𝐭𝐡𝐞 𝐫𝐢𝐠𝐡𝐭 𝐭𝐨𝐨𝐥𝐬
The first step on your road to a personal budget is finding the right tools. Thanks to the internet, that is easier than ever. If you want to go old school, you can use a pen and paper or a spreadsheet, but digital tools might make your job easier.

There are apps dedicated to financial planning and personal budgeting, so pick your favorite and download it to your phone. Once you get used to using the app, you can input your information and start building your first budget.

𝐒𝐭𝐞𝐩 #𝟐 – 𝐒𝐞𝐭 𝐮𝐩 𝐭𝐡𝐞 𝐜𝐚𝐭𝐞𝐠𝐨𝐫𝐢𝐞𝐬
If you download a smartphone budgeting app, it will likely contain a number of preset categories, including lines for rent, groceries, gas, and food delivery. Those preset categories are a good start, but they may not be enough to capture your spending fully. Adding additional categories will help you fine-tune and optimize your budget, making it easier to track your money.

𝐒𝐭𝐞𝐩 #𝟑 – 𝐀𝐬𝐬𝐞𝐬𝐬 𝐲𝐨𝐮𝐫 𝐢𝐧𝐜𝐨𝐦𝐞
Your budget will contain two separate sections: income and outflow, also known as expenses. Now that you have a budget tool on your phone or elsewhere, it’s time to assess your income sources.

If you have a single part-time or full-time job, this part should not take long at all. Grab your pay stub and record the numbers in the net pay column. Things get more complicated if you also have a side hustle or other source of income, and you will need to include those figures on the positive side of the ledger.

𝐒𝐭𝐞𝐩 #𝟒 – 𝐓𝐫𝐚𝐜𝐤 𝐲𝐨𝐮𝐫 𝐬𝐩𝐞𝐧𝐝𝐢𝐧𝐠
The next step in creating your budget is to track your spending carefully. Once again, this task can be made easier through technology — some apps allow you to track your spending automatically or at least enter each purchase you make.

Your chosen budgeting app may even include this feature, so look around and see if it can help. If not, you can download plenty of spending apps — some can even be linked to an account or credit card for easier and more accurate tracking.

𝐒𝐭𝐞𝐩 #𝟓 – 𝐀𝐝𝐝 𝐢𝐭 𝐚𝐥𝐥 𝐮𝐩
Now that your budget’s income and spending portions have been laid out, it’s time to add it all up. This can take some time, but those will be hours and minutes well spent.

Hopefully, your budget will show that you are spending less than you make; if so, you are already on the right track. If the budget shows a deficit, it is time to cut back. It can be challenging to spend less, but running a monthly deficit is even worse.

𝐒𝐭𝐞𝐩 #𝟔 – 𝐑𝐞𝐯𝐢𝐬𝐢𝐭 𝐚𝐧𝐝 𝐟𝐢𝐧𝐞-𝐭𝐮𝐧𝐞 𝐲𝐨𝐮𝐫 𝐛𝐮𝐝𝐠𝐞𝐭
The final step on your road to a personal budget is to fine-tune the spending plan. As time passes, you will get a feel for where your money is going, making it easier to trim expenses in the future.

It is essential to know that creating a personal budget is not a one-time exercise. To be effective, the budget must be reviewed and fine-tuned every month. If you want your money to behave, you need to watch those dollars closely.

08/26/2026

𝐍𝐢𝐧𝐞 𝐰𝐚𝐲𝐬 𝐭𝐨 𝐦𝐚𝐬𝐭𝐞𝐫 𝐲𝐨𝐮𝐫 𝐦𝐨𝐧𝐞𝐲 - 𝐜𝐨𝐧𝐭𝐢𝐧𝐮𝐞𝐝

𝟗. 𝐖𝐫𝐢𝐭𝐞 𝐚 𝐰𝐢𝐥𝐥
The simplest way to ensure that your funds, property and personal effects will be distributed according to your wishes is to prepare a will. A will is a legal document that ensures that your assets will be given to family members or other beneficiaries you designate. Having a will is especially important if you have young children because it gives you the opportunity to designate a guardian for them in the event of your death. Although wills are simple to create, about half of all Americans die intestate, or without a will. With no will to indicate your wishes, the court steps in and distributes your property according to the laws of your state. If you have no apparent heirs and die without a will, it’s even possible that the state may claim your estate.

To begin, take an inventory of your assets, outline your objectives and determine to which friends and family you wish to pass your belongings to. Then, when drafting a will, be sure to include the following: name a guardian for your children, name an executor, specify an alternate beneficiary and use a residuary clause which typically reads “I give the remainder of my estate to …” Once your will is drafted, you won’t have to think about it again unless your wishes or your financial situation changes substantially.

08/13/2026

𝐍𝐢𝐧𝐞 𝐰𝐚𝐲𝐬 𝐭𝐨 𝐦𝐚𝐬𝐭𝐞𝐫 𝐲𝐨𝐮𝐫 𝐦𝐨𝐧𝐞𝐲 - 𝐜𝐨𝐧𝐭𝐢𝐧𝐮𝐞𝐝

𝟖. 𝐃𝐢𝐯𝐞𝐫𝐬𝐢𝐟𝐲 𝐲𝐨𝐮𝐫 𝐢𝐧𝐯𝐞𝐬𝐭𝐦𝐞𝐧𝐭𝐬

When it comes to managing risk to maximize your return, it pays to diversify. First you need to diversify among the three major asset classes: cash, stocks and bonds. Once you have decided on an allocation strategy among these three investment classes, it is important to diversify within each asset. This means buying multiple stocks within a variety of industries and holding bonds of varying maturities. Simply put, don’t put all your eggs in one basket. Also, don’t make the mistake of putting most or all of your money in “safe” investments like savings accounts, CDs and money market funds. Over the long haul, inflation and taxes will devour the purchasing power of your money in these “safe havens”.

All investments involve some trade-off between risk and return. Diversification reduces unnecessary risk by spreading your money among a variety of investments. Aside from diversification, the single most effective strategy is to invest continuously over time, with a long-term perspective.

08/06/2026

𝐍𝐢𝐧𝐞 𝐰𝐚𝐲𝐬 𝐭𝐨 𝐦𝐚𝐬𝐭𝐞𝐫 𝐲𝐨𝐮𝐫 𝐦𝐨𝐧𝐞𝐲 - 𝐜𝐨𝐧𝐭𝐢𝐧𝐮𝐞𝐝

𝟕. 𝐓𝐚𝐤𝐞 𝐚𝐝𝐯𝐚𝐧𝐭𝐚𝐠𝐞 𝐨𝐟 𝐭𝐚𝐱-𝐝𝐞𝐟𝐞𝐫𝐫𝐞𝐝 𝐢𝐧𝐯𝐞𝐬𝐭𝐦𝐞𝐧𝐭𝐬

If your employer has a tax-deferred investment plan like a 401(k) or 403(b), use it. Often, employers will match your investment. Even if they don’t, no taxes are due on your contributions or earnings until you retire and begin withdrawing the funds. Tax-deferred savings means that your investments can grow much faster than they would otherwise. The same is true of IRAs, although the maximum amount you can invest annually in an IRA is substantially less than what you can put in a 401(k) or 403(b).

07/30/2026

𝐍𝐢𝐧𝐞 𝐰𝐚𝐲𝐬 𝐭𝐨 𝐦𝐚𝐬𝐭𝐞𝐫 𝐲𝐨𝐮𝐫 𝐦𝐨𝐧𝐞𝐲 - 𝐜𝐨𝐧𝐭𝐢𝐧𝐮𝐞𝐝

𝟔. 𝐁𝐮𝐲 𝐚 𝐡𝐨𝐦𝐞

According to the US census, since 1968, the median price of new single-family homes has gone up almost tenfold; many houses still appreciate at a rate of 6% to 8% annually. Further, home ownership entitles you to major tax breaks. Interest on first and second home mortgages is fully deductible, meaning Uncle Sam helps subsidize your property investment. Additionally, the equity in your home can be a great source of retirement income.

Through a reverse mortgage, homeowners can access the equity in their home without having to sell, and have the option of receiving monthly income for life (or chosen term) or opening up a credit line against the home’s value.

07/28/2026

𝐍𝐢𝐧𝐞 𝐰𝐚𝐲𝐬 𝐭𝐨 𝐦𝐚𝐬𝐭𝐞𝐫 𝐲𝐨𝐮𝐫 𝐦𝐨𝐧𝐞𝐲 - 𝐜𝐨𝐧𝐭𝐢𝐧𝐮𝐞𝐝

𝟓. 𝐈𝐧𝐬𝐮𝐫𝐞 𝐲𝐨𝐮𝐫 𝐟𝐚𝐦𝐢𝐥𝐲 𝐚𝐝𝐞𝐪𝐮𝐚𝐭𝐞𝐥𝐲

A major lawsuit, unexpected illness, or accident can be financially devastating if you lack proper insurance. The key to insurance is to cover only financial losses so large that you could not cope with them and remain financially fit (known as the law of large numbers). If someone is dependent on your income, you need adequate life insurance. Long-term disability coverage is important as long as you need employment income. Also, be sure to carry adequate liability coverage on your home and auto policies.

To save on annual premiums, it might be feasible for you to raise your insurance deductible, or eliminate dual coverage. And whenever purchasing insurance – life, home, disability, or auto – be sure to shop around, and buy only from a reputable firm.

07/27/2026

𝐍𝐢𝐧𝐞 𝐰𝐚𝐲𝐬 𝐭𝐨 𝐦𝐚𝐬𝐭𝐞𝐫 𝐲𝐨𝐮𝐫 𝐦𝐨𝐧𝐞𝐲 - 𝐜𝐨𝐧𝐭𝐢𝐧𝐮𝐞𝐝

𝟒. 𝐏𝐚𝐲 𝐨𝐟𝐟 𝐲𝐨𝐮𝐫 𝐜𝐫𝐞𝐝𝐢𝐭 𝐜𝐚𝐫𝐝 𝐝𝐞𝐛𝐭

If you’re trying to save while carrying a large credit card balance at, say, 19.8%, realize that paying off the debt is a guaranteed return of nearly 20% per year. Once you pay off your credit cards, use them only for convenience, and pay off the balance each month. If you tend to run up credit card charges, get rid of the credit card and go back to using cash, checks and a debit card.

07/23/2026

𝐍𝐢𝐧𝐞 𝐰𝐚𝐲𝐬 𝐭𝐨 𝐦𝐚𝐬𝐭𝐞𝐫 𝐲𝐨𝐮𝐫 𝐦𝐨𝐧𝐞𝐲 - 𝐜𝐨𝐧𝐭𝐢𝐧𝐮𝐞𝐝

𝟑. 𝐌𝐚𝐢𝐧𝐭𝐚𝐢𝐧 𝐚𝐧 𝐞𝐦𝐞𝐫𝐠𝐞𝐧𝐜𝐲 𝐟𝐮𝐧𝐝

Before you commit your newfound savings to volatile and hard-to-reach investments, make sure you have at least three to six months’ worth of expenses saved in an emergency fund to see yourself through difficult times. Keeping it liquid will ensure that you don’t have to sell investments when their prices are down, and guarantee that you can always get to your money quickly.

If you have trouble deciding how much you need to keep on hand, begin by considering the standard expenses you have in a month, and then estimate all the expenses you might have in the future (possible insurance deductibles and other emergencies). Generally, if you spend a larger portion of your income on discretionary expenses that you could cut easily in a financial crisis, the less money you need to keep on hand in your emergency account. If you have dependents, you’d want to keep more money in your emergency fund to offset the greater risk.

07/22/2026

𝐍𝐢𝐧𝐞 𝐰𝐚𝐲𝐬 𝐭𝐨 𝐦𝐚𝐬𝐭𝐞𝐫 𝐲𝐨𝐮𝐫 𝐦𝐨𝐧𝐞𝐲 - 𝐜𝐨𝐧𝐭𝐢𝐧𝐮𝐞𝐝

𝟐. 𝐏𝐚𝐲 𝐲𝐨𝐮𝐫𝐬𝐞𝐥𝐟 𝐟𝐢𝐫𝐬𝐭

Save and invest 5-10% of your gross annual income. Of course, this can be much harder than it sounds. If you’re currently living from paycheck to paycheck without any real opportunity to get ahead, begin by creating a solid spending plan after tracking all monthly expenses.

Once you figure out how you can control your discretionary spending, you can then redirect the money into a savings account. For many people, a good way to start saving regularly is to have a small amount transferred automatically from their paycheck to a savings account or mutual fund. The idea: If you don’t see it, you don’t miss it.