Day 7: Step 3

 

RESOURCES: FINANCIAL GOALS

• 10 Things You Can Do in an Hour to Improve Your Finances
• 7 Steps to Making Sure Your Finances Are on Track
• Alexa’s Tip for Reaching YOUR Financial Goals
• Checklist: I Want to Set Up a Budget

CRUNCH THE NUMBERS

The Cost of Your Spending Habits

In order to drive home the point that you don’t want to spend money on things you don’t want, think about how long it takes you to earn that money.

In the calculator below, enter:

• the amount of your spending habit (as tabulated in the This or That calculator in Step 2)
• the amount of your paycheck

Then, see how long you have to work in order to fund your bad purchases.

Now that you know, think about whether you want to make different choices about how to spend your money. Is it really worth it to work that long for that payoff? If so, you may want to keep up that spending habit. If not, you could find a cheaper alternative, or pick up a new habit entirely.

CONGRATS DAY 7 IS COMPLETE!

Today, you’ve shrunk your bills, developed rules of thumb to steer your discretionary spending in the right direction and seen how mindless spending can take you away from your goals. You’ve also seen how your spending habits cost you time-wise. Pick up tips for saving on one of our most regular expenses: food and drink.

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