Week 1 was off to a good start. I began the week feeling empowered and in control. I felt like I was steps away from accomplishing the dreams of having my own apartment, buying nice clothes and taking a dream vacation. It all suddenly seems within reach.
1.) Got Organized
– Cancelled recurring payments that went to my credit card
– Reduced my 401K contribution from 10% to 6%
– Cut up my credit cards!
2.) Reversed daily spending habits (i.e. buying coffee and lunch, ordering takeout, cabs, etc)
3.) Recording daily purchases onto a spreadsheet
4.) Started an accessible savings account to start saving towards discretionary goals (Hello! San Francisco in August!)
Since I’m allotting myself $500 per pay period, I do have to fund some necessities such as: co-pays for my therapist ($25/week), groceries ($25/week), cable (approx $60/month) plus planned expenses.
As far as planned expenses this month are Easter Brunch with friends (budgeted: $35), a bachelorette party (budgeted: $150), gift for a friend (budgeted: $50) and a bus ticket home to Boston (budgeted: $50).
By deducting these expenses from the allotted $1000 to get my remaining discretionary budget for the month.
Before spending, I’m learning to ask myself “do I really need this?” and most often times the answer is actually, “no”. Each time I walk away, I feel stronger and that I’m getting closer to being the financially independent confident person that I aspire to be.