Tracking your spending…
There are an increasing amount of apps and online solutions to help us manage and track our money these days, so do they work and what benefit is it to you?
I have seen first hand the results of tracking. About 18 months ago we started tracking the spending of all clients at Wealth Enhancers. Each month our clients get emailed a report which shows everything they spent, and compares it to their budget. What they planned on spending.
The great thing about this is that even if they did overspend in one area, which let’s face it, is always going to happen from time to time. Having the report makes them aware of it. What this means is that next month they are far less likely to overspend in that area again, because they’ll have it in the back of their mind. Without tracking there is no way to even know this stuff.
Reach your goals
Our clients are now reaching their goals faster than ever before, because they can correct their spending behaviour as they go, rather than flying blind all year and not realising how much they’re really spending.
We use a really comprehensive solution for our clients, but there are stacks of choices out there for people who are managing it themselves, they are simply to set up and generally automatically try to allocate your transaction. This is a great starting point and will help you see where your money is really going.
Remember knowledge is power, so knowing this stuff will help you ensure your spending is inline with your goals and your values.