One of the best ways to spend smart is to keep track of what you spend. It sounds easy, but most people never take time to do that one simple thing.
Try these two easy ways to keep track of your money:
Get a small notebook and write down everything you spend money on each day—even if it’s only 50 cents for a soda. At the end of each month, add up what you’ve spent. Most important, look at where you spent the money and check off places where you can cut back next month.
One way to decide where you can cut back on spending is to identify the things on the list that are needs and those that are wants. Next month, try to buy only the things you need.
Make a spending plan. A spending plan is like a road map for your money. It shows you how much money you have coming in every month (say, from a job or allowance), and how much goes out every month for spending.
If you spend more than you make, watch out! You’re in spending trouble. Better make some changes. If you make more than you spend, way to go! You’ll have more money to reach your goals.
Print this easy-to-use spending plan, fill it out, and use it to make smart spending decisions.
