‹ Building My Future #1 ›3.8.13
Two weeks ago, I mentioned that I was starting a new series called Building My Future. If you don't know what it's all about, check out that post for the details.
Today we're starting with a habit that I've gotten into over the past couple of years that I have found to be incredibly helpful when it comes to monitoring my spendings. All you have to do is know how to create and use a spreadsheet, and save your receipts.
Each month, I create a new spreadsheet to save on my computer. In the furthest left column, I type in the dates for that month. In the top row, I create categories for me to sort out what goes in and out of my bank account. This includes a heading for the earnings column and headings for spendings columns for clothing, beauty, food, and others. I love organizing my earnings and spendings on a spreadsheet because it allows me to quickly calculate my total earnings and total spendings at the end of the month. It's also nice to refer to the spreadsheet when I'm looking over my bank statements. I always limit myself to spending no more than half of what I earn in a month but that limit will change once I start co-op and have to pay rent.
Another habit that I don't see many people do, is keep their receipts. Receipts are important when things go wrong with a purchase, whether it be a mistake in the transaction or a problem with the product that needs to be returned. I always keep my receipts in a little envelope that I clear out every few months to get rid of those that will no longer be able to get a refund or exchange with. The receipts for products that have warranty get put aside in a separate envelope that gets checked perhaps once a year.
These small things have helped me stay on top of my spendings.
What do you do to keep track of your money?