How to Start Your Financial Plan

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If you do not have a financial plan in place, you are in the right spot!

Learning to create a financial plan doesn’t have to be daunting and it’s not something you have to rush in to, but it’s best to start working on a plan as early as possible. Working with your finances is a task that takes time, especially if you don’t already keep track of your money.

While balancing your checkbook is a good start to working on a financial plan, there is a lot more to learn from your finances. For example, do you know how much interest charges you are paying on your credit cards? Do you know what your balance is on your car and/or mortgage loans? Do you know how much you spend on take-out food?

A part of your financial plan should also include a monthly budget. With a monthly budget, you can see how much of your income is being spent on expenses such as bills, groceries, gas, rent, utilities, etc.

When I started working on my financial plan, I began looking at my most current monthly bank statement. I looked at my expenses to see exactly how I had spent my money. This helped me figure out that I needed to change my spending and create new habits. I started out simply by tracking my income and expenses on an excel sheet. However, if you’re not tech savvy and are the type of person that needs to write things down on paper then perhaps a budget planner #ad is exactly what you need. (I am a participant in the Amazon Services LLC Associates Program, an affiliate advertising program designed to provide a means for me to earn fees by linking to Amazon.com and affiliates sites. As an Amazon Associate, I earn from qualifying purchases. Amazon and the Amazon logo are trademarks of Amazon.com, Inc. or its affiliates.)

The Clever Fox Budget Planner is a great notebook where you can begin to work on your monthly budget. Not only will this budget planner help you develop your personal financial plan, but you can begin to jot down your financial goals. Writing down and seeing your financial goals is a motivational factor that pushes us to keep moving forward.

Even though I have a spreadsheet to keep track of my expenses, I feel as though I really haven’t made any impactful changes. That is why I take time out of my day to sit down and write out what I’ve spent, how much I have available, and what needs to be paid.

I encourage each and every one of you to sit down for at least 30 minutes a day. Start by writing down your income. Look at your paystub and learn what your gross pay is, how much in taxes you are paying, what other amounts are being deducted from your paycheck, and finally what your net pay is. This is a good way to start your financial plan and take control of your financial future.

Contact me with any questions. I am here to help you get started on your journey to financial freedom!