4 Important expenses that you should never skimp on

Saving is important but it shouldn’t be done at the expense of some items, in fact, these expenses should be on the list at all times regardless of how cash strapped you are. Here are four things that you should never skimp on:

Health insurance

Two thirds of all bankruptcies are due to medical bills. The worst thing about medical bills is that they can stretch to huge amounts, leaving us in a very bad financial situation. However, hospital bills can be taken care of by health insurance; you may experience the worst as far as our health is concerned but end up paying nothing out of your pocket. This is because health insurance could take care of everything. This stresses the need for giving health insurance high priority, making sure you never skimp on it, for whatever reason.

Car insurance

Although you may have some form of vehicle insurance, you may not be fully covered. Look into buying coverage that will offer you full protection when a misfortune happens. Failure to do this may lead to serious financial implications when you’re required to pay for some of the losses out of your pocket.

Homeowners insurance

Insurance it is such an important component in our lives. It protects us from situations which would have left us in very bad shape. Homeowner’s insurance covers us when we experience some catastrophes such as fires, hurricane destruction, earthquakes, burglaries and other disasters which you cannot prevent. Make sure that your premiums are always up to date, this will save you a great deal in case of misfortune.

Debt repayment

At no time should you fail to allocate money towards settling your debts. By doing this you are not only reducing the amount owed but also improving our credit rating. Failure to pay your debts puts you in a precarious situation, the amount owed continues to increase due to high interest and your credit rating deteriorates putting your future credit borrowing endeavors in jeopardy.

These are some of the things that should be given prominence when it comes to your monthly budget. Honor them religiously and you could save yourself a lot of financial strife.