Knowing how much you are spending is an important aspect of financial literacy and money management. You must understand where exactly you are spending your money and your monthly expenses. Keeping track of your expenses is an easy way of having a better handle on your hard-earned money.
To better understand your spending habits and to track your expenses, we suggest you create a spreadsheet (Google or Excel) or even jot down in a notebook to help you better visualize and keep track of your money.
A separate list can be made for recurring expenses like groceries, bills, money set aside for savings, and subscription services. Another list can include other fees that occurred for the month, like seeing a movie, a trip, or a shopping excursion. Writing out each expense will offer you a better understanding of how you spend your money.
This can be a great exercise to do with the kids as it is a great way to start a conversation about money and money management. We believe it is a great way to show your kids how your family handles budgeting money every month. Tracking expenses is also a great starting point to begin teaching them about the basics of finances.
You can sit down with them and have them go over there and your monthly expenses and calculate the total. This will provide them with the opportunity to better understand how your family plans their spending.
FataFeat will also offer a feature that will aid you in better understanding where your money is going. We’ll do all the work for you! Through our app, you can visually track and ascertain your habits. We will take the guesswork out and will aid in setting up smart saving goals too. To learn more about FataFeat, click here.