With the current writer's strike, there must be a few others out there hungry for a new Top 10 list. So, from the home office in Portsmouth, New Hampshire, here are the:
(followed by the reasons these excuses are lame)
1. I'll save more later (when I make much more money).
2. But I really do need this.
3. Life is too short.
4. What's another $X?
5. But I don't want to be cheap!
6. My friends don't save.
7. Mom and Dad help with all that.
8. I wouldn't have any idea what to do with any money I saved.
9. I have so much debt!
10. My husband/wife/partner/accountant/financial planner/mailman/crazy roommate/barista/dog is in charge of my household finances.
And now the matching top 10 reason those excuses are lame:
1. Did you remember saying that two promotions ago?
2. When was the last time you used it? Okay, how about where you put it? Do you even own it anymore? Do you remember what it was?
3. Then your retirement may be too long.
4. Depends on how long it takes to pay it back. Could be many times $X.
5. Me neither. Instead, be fiscally responsible.
6. Do you really need me to respond to this? Didn't you have a parent say to you 1,000 times growing up "If all your friends jumped off the bridge, would you?"
7. Good for you. Count your blessings. When you're done, hit 'em up for something else, like a financial education.
8. That's what we call a good problem. When it comes to investing, remember: how you invest matters far less than how much you save.
9. Then you already know that you need to pay it off. The only way to do so? Spending less than you make. Doesn't that kind of sound like saving?
10. You can outsource love/tax prep/technical expertise/postal delivery/loud music/a mean espresso/love. But you can never delegate financial responsibility.
Creat a Working Budget for You
A budget is the key to getting yourself back on track financially. If you follow the steps I am outlining for you then you should be able to create a budget that is designed for you.
The first thing that you need to do is agree to write down everything you spend for the next month. This mean everything even a soda from 7-eleven. Every time you spend money on anything you need to write it down.
I suggest that you do this either on the computer using word or excel, or in a note book. The first thing to do to get yourself organized by creating spending categories. I am going to list out categories for you in just a moment but before I do that I want to stress that you write everything down and this is why.
In order to truly understand what you spend your money on and what things you are willing to curb and what things are essential to your lifestyle it is important to first see where all the money goes. You may know what you spend your money on but I guarantee after a month of writing it all down you will see you spend more than you should.
Okay here are the categories for spending. You may have others or not even use some but this is the list I have used personally and with my clients when I worked as credit counselor.
Mortgage,,
Condo/association fees,
2nd mortgage,
Equity loan,
Car payments,
Student loan,
IRS payments,
Personal loan,
Other loans,
Credit card payments (list each separately),
Groceries,
Eating out (this includes 7-eleven and such),,
Tuition,
Daycare,
Medical/dental expenses,
Health and beauty (manicures. pedicures, haircuts, ex....),
Heat/oil,
Electric,
Cable,
Satellite,
Phone,
Internet,
Cell phone,
Water/sewer,
Clubs/organizations (usually monthly dues),
Gym,
Entertainment,
Holidays (estimate yearly and divide by 12),
Birthdays (estimate yearly and divide by 12),
Gas for vehicles,
Tolls / easy pass,
Newspapers / magazines (add total and divide by 12),
School expenses (sports, lunches),
Clothing
Some of these categories might be an expense only a few times a year. The reason I include them is that I want you to get in the habit if living within your means. This may take time and practice like anything else you need to learn how to spend money, but it will come with time and patience.
Take the time to write down everything you spend for the next 30 days. I suggest that you begin with the first of the month and then go from there.
Once you have 30 days worth of data you can begin to look at it and see where the money is being spent. You will need to look at the list and decide where you are going to trim the spending. Perhaps you eat out too often or spend too much money at the mall.
Start with expenses that you cannot control such as the fixed ones like the car and mortgage or rent. Then move to the ones you have some control over such as food and entertainment. There may even be some categories you need to eliminate such as eating out.
The first thing that you need to do is agree to write down everything you spend for the next month. This mean everything even a soda from 7-eleven. Every time you spend money on anything you need to write it down.
I suggest that you do this either on the computer using word or excel, or in a note book. The first thing to do to get yourself organized by creating spending categories. I am going to list out categories for you in just a moment but before I do that I want to stress that you write everything down and this is why.
In order to truly understand what you spend your money on and what things you are willing to curb and what things are essential to your lifestyle it is important to first see where all the money goes. You may know what you spend your money on but I guarantee after a month of writing it all down you will see you spend more than you should.
Okay here are the categories for spending. You may have others or not even use some but this is the list I have used personally and with my clients when I worked as credit counselor.
Mortgage,,
Condo/association fees,
2nd mortgage,
Equity loan,
Car payments,
Student loan,
IRS payments,
Personal loan,
Other loans,
Credit card payments (list each separately),
Groceries,
Eating out (this includes 7-eleven and such),,
Tuition,
Daycare,
Medical/dental expenses,
Health and beauty (manicures. pedicures, haircuts, ex....),
Heat/oil,
Electric,
Cable,
Satellite,
Phone,
Internet,
Cell phone,
Water/sewer,
Clubs/organizations (usually monthly dues),
Gym,
Entertainment,
Holidays (estimate yearly and divide by 12),
Birthdays (estimate yearly and divide by 12),
Gas for vehicles,
Tolls / easy pass,
Newspapers / magazines (add total and divide by 12),
School expenses (sports, lunches),
Clothing
Some of these categories might be an expense only a few times a year. The reason I include them is that I want you to get in the habit if living within your means. This may take time and practice like anything else you need to learn how to spend money, but it will come with time and patience.
Take the time to write down everything you spend for the next 30 days. I suggest that you begin with the first of the month and then go from there.
Once you have 30 days worth of data you can begin to look at it and see where the money is being spent. You will need to look at the list and decide where you are going to trim the spending. Perhaps you eat out too often or spend too much money at the mall.
Start with expenses that you cannot control such as the fixed ones like the car and mortgage or rent. Then move to the ones you have some control over such as food and entertainment. There may even be some categories you need to eliminate such as eating out.
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