“Annual income twenty pounds, annual expenditure nineteen six, result happiness. Annual income twenty pounds, annual expenditure twenty pound ought and six, result misery.” – Charles Dickens
Can you save a sinking ship if you don’t know where the leak is? Can you save money if you don’t know how it all disappears? One of the best and simplest ways to cut expenses is to record where your money goes and THEN reduce wasteful spending. After that, compare your expenses with your income and slowly lower it until you make far more than what you spend.
Personally, I’ve found that a simpler version of Vicki Robin and Joe Dominguez’ technique from “Your Money or Your Life” works best, and I’ll show you how to use it here.
*By the way, you can either create your own file, or you can use the free template that I’ll share with you later. I’ve personally used it since 2009.