Tracking Your Spending
The title of this article may sound a little harsh, but it's time for all of us to take a good hard look at reality and come to our senses. When over 80% of American families are living from paycheck, 85% have less than $60,000. in net worth at retirement age and that includes the equity in their home, foreclousers are at an all time high, bankrupticies are at a staggering high rate, and the real unemployment figures are at best concerning, you 're probably starting to get the picture.
One of the major problems we have today is that we are always looking for someone else to blame for our financial woes. Some say it's the Government causing our problems. Then others say it's Wallstreet that is causing the problems and then there are those that say it's the banks that are ripping us off . Believe me when I tell you, they all have a finger in the pie. But it's time to take a real good look in the mirror and know we need to take a lot of the responsibility for the financial challeges we face.
Amost none of us are taught how to better manage our money in school. The reality is, debt is at an all time high and it is killing the American dream. American families haven't got a clue as to what they need to do to solve their financial problems. Some say make more money, while others say get a second job. With unemployment sky high and companies trying to reduce overhead, this may not be the greatest solution to the problem.
When you talk to the so called financial gurus, they will tell you the first step in solving our financial problems is to create a budget. This is simply not true and is not the first step we need to take. The first step is to track our spending. It has to make sense to you that without knowing where our money is being spent, it's impossible to manage it. How can you manage what you don't know. If you start with trying to create a budget, it's nothing more than a guessing game. That's why Money Management Solutions has created a tracking system that has pre-listed 38 spending categories for your convenience. We have also created three ways to capture our spending information, by spending category, in real time, when the spending takes place.
1. Enter it online.
2. Call it in by phone, any phone.
3. Use the smart phone apps for Droid, Blackberry or IPhone
Believe me when I tell you, this is simple, easy, and almost liberating to do. Tracking your spending is the key to better money management and building wealth for you and your family long into the future. Tracking your spending and powering down your debt will eliminate the pain, stress and fear that debt causes for all of us. (This step by step information will continue in tomorrows blog.)