5 Signs You’re a Good Money Manager

It’s nice to know that you’re doing a good job. However, sometimes you are your severest critic. It can be hard to recognize when you are doing a good job, and when you are on the right track. This is especially true when you are trying to figure out how to manage your money.

You might not realize that you are actually a good money manager. If you have been down on yourself because you don’t feel that you are exactly where you wish you could be, take a step back. It could be that you’re on the right track, even if you aren’t quite there yet. Here are some signs that you’re a good money manager:

1. You have an excellent credit score.

While the credit score isn’t the be-all-end-all of financial management, it can still provide a solid indication of your money management skills. If you have excellent credit, it usually means that you pay your bills on time, and that you have a relatively low debt load.

If you don’t use credit, though, you’re not going to have a good score, and you don’t need to get worked up about it, since there are other (better) signs that you’re a good money manager.

2. You save money each month.

If you have enough money to save each month, then chances are that you’re doing something right. If you contribute to your rainy day fund and your retirement fund regularly, that’s a great sign that you are a good money manager. If you never seem to have “enough” to save, that is an indication that perhaps you aren’t managing your money very well.

3. The end of the month doesn’t stress you out.

If you are living paycheck to paycheck, stressing out as the end of the month comes, along with its scarcity, there is a good chance that you aren’t managing your money very well.

However, if you aren’t worried as the end of the month approaches, because you know that there is enough to carry you through until the next paycheck without any trouble, you’re probably doing something right. When you know that you have what you need without having to move money around frantically, you are probably a good money manager.

4. All of your bills are paid on time.

If you can pay all of your bills on time, you are probably a good money manager. If you don’t have to try to “float” your bill payments, or if you don’t put off paying your bills, that’s a solid indication that you are managing your money appropriately.

5. You have no debt (or you are actively paying it down).

Are you able to pay off your credit cards at the end of each month? If so, you are probably a good money manager. The fact that you are able to live within your means, avoiding debt, is a good sign.

However, the presence of debt doesn’t mean that you are a poor money manager. Certain types of debt, like affordable car loans, mortgages, and student loans, as long as it is manageable, is acceptable. On top of that, sometimes there are situations beyond your control that result in debt, such as job loss and medical problems.

Additionally, if you recognize your poor decisions from the past, and are actively implementing a debt repayment plan, you are probably a good money manager. If you are working on your debt effectively, you are probably doing just fine.

What do you think? What makes a good money manager? Are you a good money manager?

Miranda writes about personal finance almost every day. An experienced freelance writer, she's covered your money online and in print from every angle and is always looking for new ones.

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