6 simple steps to financial security

You don't have to wait until you become a financial wiz before you begin to build wealth. By managing spending, cutting back on debt, and systematically saving and investing,you can secure your financial future. Take these six steps and jump-start the growth of your net worth:

1 START SMALL Financial planners recommend that you save and invest 10 percent of your income. But if you can't save that much, start with a smaller amount. Ease into a savings habit by tucking away a dollar or two--or five, if you're determined--every time you get change from a big bill. And each time your stash reaches $50, put it in a savings account or a money-market fund. It helps to set a goal for how much you'll save each month as well as for how the money will be used eventually, such as to buy a home, start a business, grow a 401(k) retirement fund or pay for your child's college education. "Take a good look at your income and cash flow versus outflow and debt, and then make a list of how to accomplish your goals," advises Tomiko A. Turpin, a financial adviser at Turpin Martin Powell in Mitchellville, Maryland.

2 ADJUST HABITS You can save big bucks by buying in bulk, clipping coupons, carpooling and shopping at thrift stores or consignment shops. Use cash or a debit card to pay for purchases, because this gives you maximum control over spending urges. "Your focus should be on needs rather than wants," Turpin says.

3 STRATEGIZE SPENDING Make a list of your expenses, then track your spending for at least a month. Carry a small notebook, and jot down every purchase, even coffee and snacks. Once you see where your money is going, you can find areas to eliminate. This allows you to strategize your spending so that you cover all necessary monthly expenditures and have money left to redirect to your savings account. Then create a budget, or spending plan, which allocates where your money goes and helps you avoid spending more than you make.

4 CUT BACK ON ATM TRIPS Instead of withdrawing $20 a few times a week, curtail ATM trips by taking out a larger amount each payday and making it last. You'll not only spend less, but you'll also avoid the ATM surcharges for using machines outside your bank's network. If you find it hard to lessen ATM visits, consider transferring $10 or more into your savings account each time you make a withdrawal from your checking account.

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