We’ve talked about budgeting your cash before, and knowing what you spend money on – but let’s face it, sometimes that is a tall order.
With bills, one-off purchases and the options to use cash, debit or credit it’s easy to get to the end of the month and have no clue where all your funds went to – and how are you going to budget properly when that happens?
Here’s an idea for getting your spending on the right track: simplify your methods. Rather than use the combo of cash, credit and debit, stick to one (preferably one you can track online).
For me, I just spent a month where I ONLY used my credit card. To keep myself to it, I left my debit card at home, and didn’t use cash. The credit card works well for me because I am able to cover all my expenses with it – including bills that couldn’t be paid via debit or cash.
At the end of the day/week/month, take a look at your expenses all listed out. Try and identify some spending patterns and see where you can cut down. Those little bits help – especially when you’re viewing ALL of your expenses.
If you’ve got an issue with using your credit card, try it out with debit. You are able to track it and view expenses online in the exact same way… and if you’re trying to get yourself out of credit card debt, this might be the smart way to do things.
Even if it’s just for a week, try out this easy method of spending tracking. Eliminate the possibility of your spending options, and for once you’ll be happy about a lighter wallet.