You then need to decide how much money to allocate to each bucket. You need to start with a bullet-proof budget, categorizing all of your expenses into one of those four buckets: fixed costs, investments, savings, and guilt-free spending. Money Dials could include things like fitness, convenience, luxury items, travel, self-improvement, and social status.Ĭonscious spending is a great way to enjoy life while still building a financially secure future.

By honing in on your Money Dials - the things you really love to spend on - you can prioritize your spending in a way that makes sense for you. Following this logic, you categorize your expenses into essential fixed costs, important investments, savings goals, and - last but not least - guilt-free spending.īy allocating space in your budget for the fun stuff (minus the guilt), you’re more likely to stick to that budget in the first place. Instead, consider trying a conscious spending plan. The truth is that living a life of constantly telling yourself “no” isn’t sustainable (or enjoyable). Many people assume that effective money management means scrounging, saving, and never enjoying life. Smart money management can help you achieve those objectives. You might also have smaller, more short-term goals, like saving for your dream wedding or buying a luxury car. You likely have some financial goals in your life, whether it’s improving your net worth, paying off your college student loans, or achieving FIRE (financial independence, retire early). How money management helps you meet your financial goals

Personal budget template google sheets