More month than money? It happens to the best of us!
Our outflow of money surpasses the inflow of income.
Fortunately, there is a way to take action. To get an honest assessment of your situation, you can make a list of all the money coming in and going out. Once you know the reality of your current lifestyle, you can change it. No judgment, no self blame.
Look at your paycheck. You must create a budget based on the figure that is actually deposited in the bank. If you base your plan on $1,000 per week when your take-home pay is really $750, you aren’t being fair to yourself and will always go over your budget!
Now you have jotted down all the numbers. Surprised? Now is the time to be honest and take action.
The next step is the tricky one. Write down ALL the things you spend your money on. EVERYTHING! Don’t be bashful. If it’s embarrassing, list it as personal or give it a “code name.”
See if you are saving any money. If you have no savings plan, create a small savings habit. Set it up as an automatic draft or debit from your checking account into a savings account. This will help you create a new habit and learn to pay yourself consistently. Explore what saving is all about. It is not a punishment or a painful experience. It is simply a gift to yourself and your future. It is exciting to see how a strong foundation of saving quickly grows into a substantial investment. Save first and then spend your extra dollars.
If you totaled up all the income you would make in your lifetime, it will easily add up to over a million dollars. Wow! Who knew? Invest in yourself – you can do it!
Bob
