“Write down every penny I spend? That would never help me.”
“What a waste of time.”
“I already know where all of my money goes.”
“Tracking every purchase is obsessive.”
“Money is the root of all evil – if I pay that much attention to it, it will consume me.”
“I don’t spend any money!”
All of the above are excuses I’ve heard for not following my #1 personal finance tip. I think they’re all crocks. But hey, that’s just my opinion, based on how much tracking my own spending has helped me the past two years.
Want to prove me wrong? Agree with me and want to prove me right? Want to experiment and see if it could help you? Or maybe you’re just the kind of person that likes to take up random challenges you find on the internet?
No matter what your situation, outlook, financial standing, creed, or political affiliation (I’m looking at you, Libertarians!), I want YOU to take part in my “Know Where The Money Goes” Challenge!
How To Participate
- Declare your awesomeness! Post a comment on this entry pledging your commitment to track your expenses (all of them!) for the month of August. Using the word “pledge” somewhere in your comment will help keep it out of the spam filter.
- Track everything you buy (and how much you pay for it!) for the month of August.
Yeah, that’s really it. On the 1st of September, I’ll make a wrap-up post and I invite everyone to come back and post comments about their progress.
How should you track your expenses? That’s up to you! I use a combination of an Excel spreadsheet and a piece of paper in my wallet for writing down cash purchases. I’ve heard of many people having success carrying a little pocket notebook and using that. A Smart Phone, PDA, or iPhone will work, if you’ve got one. Heck, carve it into stone tablets if that works for you (but I demand you post pictures!).
Already track your expenses? Sweet! Pledge to… keep on doing that! This should be fun, no matter what. We’ll all encourage each other, remind each other, share techniques… and hopefully brag and boast about how awesome we are.
Added bonus: if anyone asks why you’re writing down everything you buy, you can tell them it’s because some girl on the internet told you to. (To which you’ll probably get the response “There are no girls on the internet!”)
Bloggers: Tell your readers to come on over and take the challenge! The more the merrier!