Everybody faces this question on a daily basis. “What do you do with your money?” Save? Spend? Invest? Splurge? This week, Kristine addresses the issue of “Competing Priorities” with regards to young families and early investors. She discusses ways to find, sort and prioritize expenses into your “Must” needs and your “Want” needs. This difficult balancing act affects everyone uniquely – at various levels according to the size of their paycheck and the depth of their assets. In a follow-up video for our “Affluent” individuals and families, we’ll demonstrate the subtle differences of their needs and how some of these same, important tips mentioned by Kristine can be built upon for every Life Stage.
Check it out and don’t forget to take note of the “Try Now” tips you can enact right away to get set on the right path towards fiscal responsibility.
Tips To Try Now
1- Log into your bank account and look at last month’s expenditures. Note the surprises and outliers.
2- Categorize your spending – using a phone app or a tool your bank provides. Remember to keep it simple – the fewer buckets you create, early on, the easier it will be to track.
3- Look at the categories and make sure you know what you pay for, and whether or not you still use/need it.
4- Be kind to yourself. Life is hard and full of changes, especially as you grow through your early years. You’re going to make mistakes. Prioritizing is a juggling act and you will drop a ball once in a while. But if practice good habits, and continue to refine your lists, you’ll be okay.