- Comparison of the plan and deviations (reality). A decision is made based on the results. A significant deviation is 5-10%.
- Do not evaluate and criticize your expenses for the first month. You just need to develop a habit.
- You can track in detail (milk, eggs, cottage cheese...), you can create a category "food" for this, or you can create only 2 categories: "mandatory" and "optional" expenses.
- A list of things you would like to do in retirement (live by the sea...). How much do you need for this? This motivates you to save for retirement.
- Planning methods:
5.1. Set aside for savings, for unforeseen expenses, and the rest of the money can be spent as desired;
5.2. Divide income into 6 parts: 55% - current expenses; 10% - investments; 10% - education; 10% - safety net and major purchases; 10% - entertainment; 5% - charity and gifts;
5.3. 20% - investments and savings; 50% - mandatory expenses (rent, loans, groceries, communication); 30% - lifestyle (restaurants, cosmetologist, nice to have, but not necessary);
5.4. 60% - current expenses; 10% - retirement; 10% - major purchases (apartment, car, even debts and loans); 10% - irregular expenses (just in case, like a cushion), 10% - entertainment