Page 43 - Workbook1E

Using Your Spending Register
Don’t Miss a Thing!
No expense is too small... even just a few cents for the gumball machine. You must make it a habit—it’s essential for good money management. The better you become at this, the quicker you’ll know exactly where your money goes. You’ll then stop experiencing the problem of “evaporating money.” You’ll have increased confidence and control over your money.
Be Careful What You Use
Dave and Marie noticed they had more money in their checking account than before, but they realized they couldn’t spend it since it was already allocated in their Plan. It covered things like semi-annual insurance payments, quarterly taxes, car registration, or even Christmas. They also realized their checkbook register no longer reflected how much money they had to spend. They needed to use their Spending Registers to get the most accurate information.
Increase Your Savings
The increasing balance in your checkbook may be too much of a temptation to spend money already planned for other things. It’s best to set up a separate or sub account in one of your savings accounts. Then the money earns interest while you’re waiting for the expense to come due (example: quarterly taxes.) You’ll have the funds when needed and also be earning interest in the meantime—good financial sense.
Dave and Marie set up a sub account at their bank and enjoyed watching the interest they were earning instead of paying. It’s a great lesson in money management that successful businesses use every day.
REMEMBER: To be financially fit you always need to... • carry your Spending Register with you.
• record every cent spent into your Register.
• keep a running balance in each category.
• regularly review where your money goes.
• don’t spend more than you’ve planned.
• put funds awaiting payment to work for you.
When you’ve made a habit of living these healthy financial behaviors, you’ll move quickly on the road towards Financial Freedom.
“Put not your trust in money, but put your money in trust.”
~ Oliver Wendell Holmes, Sr.
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