Ask Yourself: “What Do I Value Enough to Spend Money On?”
Saving money is important, but don’t create a budget so restrictive that you can’t enjoy what you save. Some budgeting and saving advice quickly default to cutting back spending. However, you shouldn’t cut back on things you value to the point that saving money is painful.
For example, you may think a quick path to saving more dollars is to spend less on food. But if you fail to stock tasty and nutritious staples, you may opt to eat out and end up spending more. Plus, poor food choices can negatively impact your health, resulting in later medical bills.
If you can stop spending money on things that don’t bring you value, you may find more money available to spend on things that matter most to you.
What Can I Eliminate to Increase My Net Income?
Focusing on eliminating debt is an easy way to increase the amount of money that remains in your wallet at the end of the month. As we’ve discussed before, using the debt snowball strategy is a viable way to eliminate small debts and increase the amount of dollars that can go toward more significant obligations.
To determine if this is the right financial strategy for you, calculate how much you spend on monthly debt payments. You may be surprised at how much more money you’ll have once those debts are paid off.
In the age of subscription boxes and entertainment, it is worth reviewing how much you are spending. Is there a subscription video service you only watched during one show’s season that you could cancel? Do you really need a monthly fix of makeup, skincare or clothing?
What Am I Doing to Meet My Financial Goals?
You should regularly review how well you kept to your budget—at least monthly. You can learn and adapt when you check your budget from the previous month and see how well you did with your goals.
Every month during your budgetary review, you should honestly assess what you did to meet your goals and how you can improve.
If you have much to improve, don’t beat yourself up; acknowledge what it is, and then set goals and plans to improve.
What Can I Do to Improve My Financial Habits?
Use this question to guide you as you change your budgetary goals.
As you review your budget, look for areas in which you struggle the most and carefully consider what challenges you encountered the month before. Examine the issues from every angle, and then create a plan to prepare and mitigate those challenges to ensure you reach your financial goals.
What Products Does My Bank Offer that I Could Be Using?
As you increase the amount of money you can save, you can protect and help maximize your savings with services available from your local bank. A regular savings account is a great option if you need regular access without worrying about when you can contribute or withdraw funds.
If you want to earn more interest on your dollars, premium savings accounts, including money market and certificate accounts, are also available and help your account grow.
If you decide to bank with F&M Bank, some plans to consider include:
- Smart Savings
- Choice Interest Checking
- Choice Money Market
Each of these accounts is interest-bearing, accessible, and convenient with free online and mobile banking options. Visit F&M Bank’s Personal Deposit Solutions page to learn more.