Why is it that there are so many people without a substantial savings account? Most of the time, it’s simply a lack of budgeting. They aren’t bad people, and they aren’t spending their money on the latest gadgets, but yet, those dollars are just slipping from their fingers. Where is it all going?
Take Note of Your Daily Spending
A quarter here, a couple bucks there. It doesn’t seem like a big deal until we look at how little we have left at the end of the month. At this point, a couple might write down all of their expenses to try to figure out where it all went, but without the proper receipts, they are often $300 to $500 short! All the money was going to the little expenses that are never recorded!
What are Those Little Things?
Every morning, what do most of us do? We stop by the coffee shop of course. Deduct $2.89.
Oh no, you forgot to eat breakfast before you left! Stop by McDonald’s. Deduct $3.19.
You get to work and your buddy asks you to lunch. You feel like you shouldn’t spend the money, but he assures you that it won’t cost that much. You go to Panera Bread. Deduct $8.99.
Now it’s 3 o’clock and you’ve hit the wall at work, time for another coffee. It’s not much money though, only $0.50 for a K-cup.
Add It Up
If you would decide to purchase each one of these items in one day, your wallet would be $15.57 lighter. And, what if you did this 5 times a week? That’s about $78; and over $300 a month!
So make sure you pay attention to those little expenses. They might seem like nothing at the time, but when it’s all added up at the end of the month, it definitely puts takes a toll on that budget!
My name is Derek, and I have my Bachelors Degree in Finance from Grand Valley State University. After graduation, I was not able to find a job that fully utilized my degree, but I still had a passion for Finance! So, I decided to focus my passion in the stock market. I studied Cash Flows, Balance Sheets, and Income Statements, put some money into the market and saw a good return on my investment. As satisfying as this was, I still felt that something was missing. I have a passion for Finance, but I also have a passion for people. If you have a willingness to learn, I will continue to teach.