For the bigger items like our insurance and rent payment, I go ahead and set them to be paid automatically. All I have to do is enter the amount in my check register (or just import it into Quicken, which is what I’ve been doing). It’s so easy to set bills to go out for a specific time. I don’t have to remember to write a check and mail it, leaving enough time for the payment to go through the mail. And many of the payments are sent electronically, so I don’t have to worry about lost mail either.

For other bills that aren’t a regular amount – electric, phone, cell phone, cable – I just have them set up as payees. That way, I only have to enter the payment amount and due date each month. As soon as I get the bill, I schedule the payment. Otherwise, I’d put the bill aside and forget to set up the payment.

It has saved us a lot of postage and late fees.

Fortunately, with a minimum number of transactions there’s no monthly fee for using automatic bill pay. It really has been a huge help to me, especially since I prefer to have my bank send out payments, rather than letting companies debit my bank account.

Do you use online banking? Do you monitor your checking balance online? Why or why not?

I had started out well. I use software to track my expenses, only I wasn’t updating it regularly. I did keep all of my receipts and even filed them by category. But that’s as far as I got.

It’s really hard for me to get things done. I work from home as a freelancer, more than 40 hours a week by the time it’s all said and done. Add a toddler and husband to the mix, household stuff, managing finances… it sometimes seems like too much. I struggle to keep the chaos somewhat under control.

Hey, but at least I do manage to keep our bills paid on time. It’s the small victories, right?

So I’m trying to do better for next year. I have a few things to file and enter into my financial software. If I can do it now, and keep up, the end of the year will be much easier. I do at least stay up on my filing once or twice a month. I’d be much farther behind if I didn’t do that.

I’ll talk more about what I’m doing, what categories I use, and what software works for me. Are you breathing a sigh of relief? Do you do your own taxes, or get it done for you?

(image: morgueFile)