Whether you’re looking to set up a financial organizing system or just need to update the one you have in place, now is the perfect time to commit to this goal.

I think we would all agree that the current economy has been a little bit of a blessing in disguise. In the last year we’ve all been given a rude awakening into how our economy works and how fragile it can be. It is up to each of us to personally manage our finances and set up systems we can easily maintain.

Whether you’re a small business owner or simply want to get your personal finances organized, you don’t need an elaborate system to get the job done. You just need to choose a system that works for you and commit to using it.

The Basics

• Identify what you want to track with your financial system: budget, investments, bills to pay, business expenses, etc.

• Determine whether you will use an electronic or paper system or a combination. Online banking is easy, fast and economical.  Once you’ve set up your monthly bills (which actually takes very little time) you simply add the amounts to pay and the date you want the money withdrawn from your account and you’re done!  Of course, good old-fashioned check writing is perfectly acceptable too.  Just be sure to mail your bills in advance so they arrive by their due date.

• Create a budget based on your take home pay and update it every two weeks or month as your expenses change.  Include dues dates for all bills so you can avoid those nasty late fees and finance charges.  Make sure to include annual expenses such as insurance, car registration, dues & subscriptions.

• Create a simple filing system for important financial documents, e.g., tax returns, insurance policies, airline/travel memberships, medical records.   There is no right or wrong way to set up files; simply choose titles that work for you and allow you to find items when you need them.  There’s no master list of records retention guidelines that will work for everyone, www.bankrate.com is a good starting point.  Always check with your accountant on how long you need to keep tax returns and other documents.

• If you are a small business owner usingan online software system like QuickBooks or Quicken is the easiest and most efficient way to track all of your finances.  You can quickly enter checks, deposits, create invoices, reconcile bank accounts and generate reports.  In literally 30 seconds you can run a report at the end of the year to give your accountant.  This will eliminate hours of going through receipts and calculating mileage and other expenses.

• If you don’t have the time or inclination to do the data entry yourself you can hire a bookkeeper to do these tasks for you on a bi-weekly or monthly basis.

As with any system it only works if you use it. Set aside time each day or week to file your paperwork and/or update your online system.

Once a year clean out old files and shred any documents that contain account numbers, your social security number and any other data that could be used in identity theft.

Create new files as you need them and incorporate them into your existing system.

Having a simple and functional financial organizing system hasso many benefits, including: keeping to a budget, setting goals for future expenditures as well as savings goals, avoiding nasty bank fees and planning for financial security.

Cindy Kamm, CPO is a Certified Professional Organizer who works with clients in the greater Los Angeles area.  Her company, Details etc., www.details-etc.com has been in business since 2003 specializing in residential and office organizing.  Cindy also works with small businesses setting up and maintaining their QuickBooks operations.

I’ve never been one to waste. ‘Waste not, want not’ was a common phrase I’d hear growing up. So, I’d clean my plate at dinner, enjoyed leftovers at any meal, saved my money for trips abroad instead of knick-knacks from the department store, etc.

This has absolutely carried over to my wardrobe. I rarely buy something I don’t love. I know exactly what I need to update my wardrobe. And, when I buy something new, I have my wardrobe inventoried in my head through which I sort to brainstorm an outfit (and a reason to buy).

(Yes, this is why I’m good at what I do for you!)

Of course, this carries over to my accessories. I’ve mentioned before that buying a few key accessories is the best budget-friendly way to update your wardrobe (and complete your look).

Whether you have a lot of costume jewelry or a lot of fine jewelry (or both), if you’re not wearing it your wasting money.

The number one reason you don’t wear it? You can’t see it! So, you forget you have it!

Solution: Incorporate your fabulous jewelry into the decor of your bedroom.

For your necklaces, try a vintage coat rack. Or, simply nail small nails scattered along your wall and hang your colorful necklaces.

For your bracelets and rings, try a cake stand. Or, if you don’t want as much height, you could even use a leather/colored valet.

For your earrings, there are so many beautiful earring stands that keep them in great condition and easy to see (and grab!).

Now, just wait for all the compliments to come!