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Stop Wasting Your Money with This Simple Habit

It only takes 10 minutes a week!

 

Want to break the paycheck-to-paycheck cycle, afford your student loan payments, or escape the shackles of credit card debt?

I’ll guide you through the process to cut your spending by thousands IMMEDIATELY without missing out on the fun.

by Rob Bertman, CFA, CFP® in Money Strategy, Spending
August 9, 2016

 

Every dollar that we spend should have great impact on our lives, because every dollar that we spend is a dollar that does NOT go to savings, to pay back our debt, to increasing our wealth or make progress toward our financial goals. We need to make every dollar that we spend count.

There’s a very simple habit that takes no more than 10 minutes once a week. It will help you get control of your spending and make sure that every dollar that you spend really counts.

Let’s step back for a second here.  Our brain is always looking for ways to make us feel better. It can alter our current reality to make us feel better and cope with our current situation.  When getting control of our spending is difficult, our brain will trick us to avoid it, forget about it, or not make it seem as bad as it really is.

Only with true awareness can we start to change our spending behaviors.  So how do we stop our brain from tricking us and get true awareness of our situation?

If you’ve signed up for an online program link Mint.com that consolidates your transactions from your credit and debit cards, bank account, PayPal and Venmo, then this only takes 10 minutes.

The habit is simple. Review your spending once a week.

As you review your spending, notice your emotional responses to these transactions. If you look at a transaction from a week ago and it puts a smile on your face, then that was money well spent. Keep in mind that money well spent is different for everybody. We all have different things that bring us life enjoyment and fulfillment.

You will also notice spending that we really regret or feel guilty about. At the very least, we may feel apathetic and have no emotional response to it. These are things that just aren’t worth it to spend money on it.

This is important, because every dollar we spend does NOT go to building our wealth or reaching our financial goals.

Action item: Put a calendar spot to review your spending. Make it a 10 minute block of time and have it repeat weekly.  Whatever time works best for you is what will work.

Over time you’re going to notice patterns in your spending and gain awareness as to where your money is going. You’re going to start to figure out where your money went that felt good and where it went that didn’t feel good, and eventually you’ll see your behavior change and wasted spending go by the wayside.

So set up that calendar spot once a week. 10 minutes. That’s all it takes.

Thanks for joining me this week. I greatly appreciate it!

Now if you want priority access to these videos or want all the information including the summary, transcripts, video and audio, then go to www.moneywithimpactblog.com and sign up to get priority access to these blog posts.

That way, you’ll get these posts as soon as they come out and will be the first to get them.  www.moneywithimpactblog.com today.

Thanks again for joining me!

Rob Bertman, CFA, CFP®
Founder & CEO
Money With Impact
www.moneywithimpact.com

 

Transcript

It’s absolutely critical that every dollar that we spend has great impact on our lives. Whether it helps us get great life fulfillment or enjoyment, whether it helps us reduce our stress, whether it helps us build our income, every dollar that we spend should have great, great meaning to us.

Because every dollar that we spend is a dollar that does NOT go to savings. It’s a dollar that does NOT go to pay back our debt. It’s a dollar that does NOT go to increasing our wealth or make progress toward our financial goals, so we need to make every dollar that we spend count.

Now, I have a very simple habit that I want to teach you. It takes no more than 10 minutes once a week. It will help you get control of your spending and make sure that every dollar that you spend really, really counts.

Hi, I’m Rob Bertman, Founder of Money With Impact and this is 5 Minute Financial Fitness where we get your money in shape in 5 minutes by giving you a great tool, tactic or strategy that will help you improve your financial situation. We do it in a way that’s easy for you to understand, and we do it in 5 minutes.

Now our brain is an interesting thing. Our brain is always looking for ways to make us feel better. It even alters our current reality to make us feel better and cope with our current situation.  And a lot of this applies to spending too.

There are times where we make major purchases or have wasteful spending, but our brains trick us because they either help us forget, avoid thinking about it, or maybe just embellish what actually happened. “No I didn’t spend $100 out with my friends, it was only $50.” Our brain tricks us.

Now again, it’s critically important that we make every dollar that we spend count, and the best habit to put into place takes only 10 minutes once a week, simply reviewing spending.

If you’ve signed up for an online program that consolidates your transactions from your credit and debit cards, bank account, PayPal and Venmo like Mint.com, then this only takes 10 minutes.

What you will do is once a week, you’ll go to Mint.com or the equivalent of that and you’re going to look at where your money went this past week, and this will paint the actual reality of where your money is going.

And as you review your spending, you’re going to notice emotional responses to these transactions. If you look at a transaction from a week ago and it puts a smile on your face, well then that’s money well spent. Now, money well spent is different for everybody. Some may enjoy going to a movie, going out with friends, some may like to go to concerts or take trips, others may enjoy. We all have things that bring us life enjoyment and fulfillment.

What we’re also going to notice when we look through our weekly spending is we’ll see things that we really regret or feel guilty spending money on or at most, we feel apathetic and have no emotional response to it.  These are the things we’re going to notice as we review our spending weekly. That it’s just not worth it to spend money there, because every dollar we spend does NOT go to building our wealth or reaching our financial goals.

So the action item that I want you to do is to put a calendar spot in your calendar and set up a 10 minute block of time where you will go in and review your spending. Then, make it repeat weekly.  Now whatever time works best for you is what will work. There’s no magic to doing it on Saturday or Sunday or Tuesday or in the morning or afternoon.  Whatever works best for you. It’s just 10 minutes and that’s all it takes.

Over time you’re going to start to notice patterns in your spending and gain awareness as to where your money is going. You’re going to start to figure out where your money went that felt good and where it went that didn’t feel good. When you’re in the situation where you’re about to spend money on that extra drink or buy that pair of shoes or that new tv, you’re going to ask yourself this question because you are now in touch with your spending reality and have a new lens with which to view your spending in the moment.

What this is all about is making sure that you get to a point where you have no wasted spending. Every dollar that you were wasting spending money on things that don’t matter to you, you can now put that money towards building your savings, paying back debt, or making progress toward your financial goals.

So set up that calendar spot once a week. 10 minutes. That’s all it takes.

Thanks for joining me this week. I really appreciate reviews, so if you’re listening to this via podcast, go ahead and leave a review. I greatly appreciate it!

Now if you want priority access to these videos or want all the information including the summary, transcripts, video and audio, then go to moneywithimpactblog.com and sign up to get priority access to these blog posts.

That way, you’ll get these posts as soon as they come out and will be the first to get them.  www.moneywithimpactblog.com today.

I have a big announcement to make.  This week, I’m going to start holding office hours on Facebook LIVE this Wednesday at 9:30pm ET/6:30 PT.  What these office hours are all about is that I want to find out the #1 thing on your mind financially and help in any way I can. If you have any questions or topics you’d like to cover, join me on my Facebook page LIVE and let me know what’s on your mind.  What do you want to learn about? What questions are on your mind? I’ll be there for an hour to have a conversation with you.  Join me Wednesday at 9:30pm ET/6:30pm PT.

Also don’t forget to sign up at www.moneywithimpactblog.com for priority access to these posts.  We’ll have another great one for you next week.

Thanks again for joining me! I’ll talk to you soon.

All the best,

Rob Bertman, CFA, CFP®
Founder & CEO
Money With Impact
www.moneywithimpact.com

 

 

Want to break the paycheck-to-paycheck cycle, afford your student loan payments, or escape the shackles of credit card debt?

I’ll guide you through the process to cut your spending by thousands IMMEDIATELY without missing out on the fun.