“Don’t tell me where your priorities are. Show me where you spend your money and I’ll tell you what they are”
James W. Frick
After you figure out what money means to you (Part #1), you can now move to Part #2 where you follow your money.
Have you ever wondered where all your money goes? Do you ever feel like your money is just running out of your wallet? My hope is that you don’t have that feeling. I want you to take charge of your money because if you don’t direct your money, it will end up directing you.
Follow The Money
Step 1) Follow
Look through your financial statements. Study your buying habits and look for patterns. What are you buying on a weekly basis? What are your recurring expenses? Categorize your spending. Some example buckets include: housing, food, medical, tithing, extra. How much are you spending in each of these areas?
Step 2) Decipher
What is your money telling you about your values? Are you happy with these current values?
Step 3) Opps..
Are there any purchases that you are not proud of? This could be a single purchase, or a category of purchases that add up. Think about the cause behind the decision? Did your friend group pressure you? Was it made when you were stressed? Was the decision made when you were tired or hurt? What were some of the trigger points that lead to the unwise financial decision?
After taking some time to follow your money, you now have a better understanding of your current financial habits. I strongly believe that we can’t plan where we are going until we understand where we are.
You need to know where you are before you can begin to move to where you want to go.
If you are not happy with where you are, that's okay! Don’t lose hope or feel like you can’t start again. Everyday is a fresh new day to make better decisions. You are never going to be perfect, you will NEVER make all the right financial decisions. But, you can always get better as you seek to make decisions rooted in Godly wisdom.