Can you believe we only have three more months before the new year? It's time to examine your monthly spending, by analyzing your current spending and making plans for the months ahead.
1) Managing Expenses
Make a list of all your expenses. A good way to do this is by looking at bank statements. Some costs are fixed and necessary, like house payments. While retirement savings and emergency funds might feel optional, but you'll be glad you put them away. Entertainment and fun aren't optional categories, either. You need them to make life run along smoothly. Take care of yourself so you can take care of business. The key is that entertainment and fun are adjustable categories.
2) Create Realistic Savings Goals
Allocated money is planning made visible. Save for the future, for emergencies and for specific needs you see coming. Ask yourself if you should consider finding more sources of income. Maybe you could get a temporary second job or sell things you no longer need. Whatever you do, build savings goals into your budget.
3) End Of Month Analysis
Look at where your money went. Do you need the things you bought? If the answer is no, can they be returned? Did you enjoy the money you spent on entertainment? Which items yielded the most amount of fun? Maybe you could prioritize those elements, and cut back on other things that cost money but weren't as enjoyable.
Can some of the services you purchased be done yourself? You might learn and have fun by cooking at home or doing your landscaping. For instance; One couple looked for interesting recipes together and enjoyed making them at home. The goal is not to spend more than you earned. By making these few adjustments, you might save yourself more money monthly.
4) Big Dreams
Learning how big things can be accomplished will help make planning feel less punitive. This knowledge will give you the ability to hit the ground running when your finances are where you want them. Look at things like dream homes and vacations. Creating financial goals will help you achieve your personal goals as well.