Keeping track of your money used to require holding onto receipts and balancing a checkbook. However, it’s now easier than ever to put mind over matter when it comes to knowing how much you’re spending and how your spending habits are affecting your life. To help yourself get a better handle on your money, here are three tips that will help you consistently keep track of your finances.
Understand How Emotions and Spending Relate
Spending habits aren’t just about the amount of money you have in your bank account or left on your credit card balance. According to Stacey Tisdale, a contributor to BlackEnterprise.com, your emotions can very easily lead to overspending, especially when you’re spending your money on others. But rather than trying to make up lost time or attention to others with extravagant gifts, consider giving them something money can’t buy—you! Spending time rather than money is a great way for you to save your relationships while also saving yourself money. Take the time to consider your emotions before you make your next big purchase either for yourself or for someone else.
Get the Help of An App
Without tracking your money, it’s very hard to know where each dollar is going. For this reason, using one of the many helpful financial apps out there is a wonderful way to keep your finances in check. According to Alex Veiga, a contributor to Phys.org, apps can help you with budgeting, tracking your expenses, managing your debt and more. And with the amount of people who use their smartphones on a second-by-second basis, it can be a real convenience to have all your financial data right at your fingertips for when you’re contemplating making purchases, large or small.
Change Your Way of Thinking About Total Costs
Overspending can quickly and easily become an unbreakable habit for many people. When you find yourself slipping into this way of living, Melanie Pinola, a contributor to LifeHacker.com, suggests changing the way you think about the costs of things by using the “$1 per use rule.” To use this rule, simply consider to yourself if you will use the item you’re thinking about buying enough for the item to really only be costing you $1 per use. If not, the purchase may not be something you truly need at the time. While there are definitely exceptions to this rule, this is a good way to make you stop and think about your money before spending it.
Keeping your finances in check is all about taking the time to understand how your spending decisions will affect your life. Use the tips mentioned above to give yourself more chances to get yourself on solid financial ground soon.