Day 18....Financial Simplicity

Happy Monday to you!
Day #18's task is:

To achieve financial freedom, first figure out what you have and then manage it well.  Today, collect your documents that are associated with large assets---documents for your car, house, investments, and so on---and put them in one filing cabinet called Assets.  For your house: file your deed, purchase contract, closing papers, title policy, and insurance papers.  For your investments: file confirmations, year-end statements, and tax reporting forms.  For cars: file ownership papers, registration documents, and insurance papers.  (30 Days to a Simpler Life, p. 116)

OR for serious simplifiers only...

Don't use your credit card for three months.  Be resolute.  Or, every time you use your credit card, deduct the amount in your checkbook.  Better yet, trade in your credit card for a debit card.  It automatically withdraws the amount from the bank.  You'll spend less.  



Attacking the finances! I have been working on taming this beast for a while...and I am sort of getting it. If only I could reign in dh's spending.....he just doesn't always realize the impact on our general finances. He works so hard, so it is difficult to deny him anything he wants if we happen to have the money available...even if it is earmarked for something else....sigh.

So....my financial rules
1. Pay your savings account first...every week...no matter what. Decide what is a reasonable amount and set it aside. No cheating!

2. Christmas comes every year...no matter what...it comes...so, how much do you want to spend? Split that amount up by 40...and start putting that amount away weekly...no more credit card debt there.

3. Pay your credit cards in full every single month. If you can't afford it....don't buy it. If you have to pay down credit cards....pay off your smallest first, then put that amount towards your next card and so on until it is all paid off.

4. Pay extra principle on your mortgage...and your car payment every month...over time it adds up to much less interest you have to pay.

5. Re- use...recycle...do without. If I don't need it...I don't buy it. Period!

6. Watch those sneaky expenses...cash ones etc. Coffee....snacks...impulse buys.....give yourself an allowance each week for these kinds of things. We all need a treat...budgeting for them makes the cost not sneak up on you.

This year I had intended on putting all of our expenses into my quickbooks, but just never got to it.....maybe this is the incentive I need!