Knowing your spending habit

Every month or even every weekend, when you open our cupboards, cabinet and refrigerator, checking the supplies for the week, or just going to the mall and check whats new. Buying groceries or new stuff even if you say that you need those, how will you know that your spending way over your head? well, here are something to check on to evaluate if your overspending and if you really are based on the indicators here's how some guide on how you send and work on improving your situation.
Were you able to save five percent of your gross income? A saving rate of five percent or below means that you will have real difficulty when an there's emergency. It is advised that saving 10% of your gross income to ensure you will have enough cash and had enough when emergency crops up.
Are your credit card balances continues increase? If your paying the minimum amount of your credit card balance, then you are most likely spending more than you should. Think hard if what you are likely to buy is what you really need. If you can have a day or two to think it over and if you will live without it, then you don't need it. Don't charge it to your account.
Are you spending 28% of your income on your house? If you are paying your mortgage, insurance and property taxes that is 28% higher in your gross income, historically, 28% is considered that rate at which the average person can get by with making mortgage payments and still enjoy a reasonable standard of living.
Are your bills are spiraling out of control? If your paying several installment bills, whether necessary or unnecessary, installment purchases, you are most likely spending beyond your means. Go through each bill and ask yourself whether each product or service is really necessary and make that change.