Where is your money going

Well, like most businesses that have quarterly reports, this also happens in our household. We see where we are compared to where we estimated we would be and suggest adjustments (changing vacation plans, investing in a stock for an opportunity, reducing some line items from the budget). We look closely at all non-discretionary expenses and cut waste (like a business). Example, after seeing how much we spent enjoying our local cafes instead of scraping our Starbucks weekend treats, we learned how to make most of the signature drinks at home or using online programs such as swagbucks that enables us to enjoy these treats at no extra costs.

We evaluate what we don’t use and sell it or looking at ways to add value with what we have.  An example would be our rental property, renting it furnished catered to students that attract higher monthly rents.  Parking spaces that can be rented because we own a condo in the downtown core of Victoria, BC and there are always people looking to rent parking spaces.

We try to run our household as organized as possible. We automatically pay all credit card invoices, utilities, Internet, mortgages so we don’t need to worry about lost payments or missing a deadline. Making sure we are always making profits at the end of the month and ways to cut out unnecessary expenses. Cutting down food waste and use what’s in the pantry. Example would be to switch from branded boxed cereal to bulk size steel cut oats from Costco. It goes a lot further and is much more healthier too.

Since I love going to the gym, I began training to instruct classes. I love it, its a passion and now I’m teaching classes that I love with the advantage of getting paid for teaching and the perks like free memberships for my husband. Gym memberships are costly and we’ve managed to attain them an no extra cost plus we stay fit. I’ve turned a hobby into a job.

With all well run business we use a software give you an up-to-date balance sheet of asset and liabilities in our household and it shows our Net Worth at the current date accounting for every penny.

Using technology allows you to set up categories you want to track (Gas, Clothing, Entertainment, Food). I give the analogy to a mirror, it helps shed light on areas where you may waste money an allows you to tweak your spending.

Another great feature is that you can link your trading accounts and see how your investments are doing.  This ensures we account for all costs and are able to analyze our household budget.