How You Can Track Your Expenses Using A Finance Journal
A finance journal is a fantastic instrument that can help you track expenses and identify improvement areas. It is a relatively simple yet effective tool that anyone can use–you’ll need only a pen, notebook, or phone.
Below, you will find out exactly how to use this magic wand that could help you achieve most of your financial goals.
What Are The Benefits Of Using A Finance Journal?
There are two main benefits of keeping such a journal:
- You will be able to identify your spending habits. Only after figuring out where your money is going and how (and why) you tend to spend it will you start adjusting toward a more financially stable future.
- The journal will keep you accountable. The fact that the extra few bucks that you have spent on coffee will not go unnoticed makes you think twice before making such a purchase.
How To Track Expenses Using A Finance Journal
Keeping a journal is generally much more effective than downloading your bank statements every month because you’ll see all your expenses in one place.
You might have a few credit cards that will not be shown in the statement. Furthermore, such statements do not include the things paid for with cash.
Setting Up The Journal
- You can use a pen, notebook, or phone to track your expenses. If you forget to take your notebook everywhere you go, we recommend keeping a physical journal, as writing your costs down would have a more significant psychological effect.
- Make sure that you have enough sections to write down:
- The date
- The amount
- The description of the transaction
- Your emotions when making the purchase
- The majority of people would typically have to adjust how much they spend every month on their ‘wants’ to make a difference. That’s why you might use two colors to write down the amounts spent on your ‘needs’ and ‘wants.’
- Write down the sum of the transaction as soon as you make it instead of trying to remember everything that you have bought at the end of the day.
- Use the journal for at least a week or, ideally, a month before proceeding to the next step.
Reviewing Your Transactions
As you are now actively thinking things through instead of simply spending the money, you will notice that you naturally began spending less. However, that doesn’t mean that there is no room for improvement.
Review all of your transactions and identify the things that you don’t like. For example, if you have written down ‘I bought this because I felt sad’ in the emotions section of your journal, you might want to start looking for other ways to boost your mood (like having a quick workout session, for example).
When To Take Out A Title Loan?
Eventually, a financial journal will help you spend less and save more. But, establishing a proper emergency fund might take months or even years. And during this time, anything can happen.
If you ever find yourself in a situation where you urgently need fast cash, taking out a title loan might become your way out.
Why Work With Tennessee Title Loans, Inc.?
There are quite a few title loan lenders for you to choose from. But if you decide to apply for a loan offered by such a reputable company as Tennessee Title Loans, Inc., you’ll be able to take advantage of these essential benefits:
- You wouldn’t have to visit the store as the lender representative will accompany you.
- You might get approved in 30 minutes and receive the money the same or the next bank day.
- You can qualify for up to $2,500.
- You’ll get to keep driving your vehicle while repaying the loan.
- You will need only your car, lien-free title, and ID or driver’s license to apply.
Submit An Inquiry Today!
Using a finance journal to track expenses is a beautiful habit that can help you start spending less and saving more. But, unfortunately, such a tool won’t be able to protect you from all financial-related troubles. At one point, you might need a relatively large sum of fast cash, and that’s precisely when title loans can take center stage.
With Tennessee Title Loans, Inc., you can get the much-needed amount quickly. And all you would have to do to get started is fill out our quick online form.
Note: The content provided in this article is only for informational purposes, and you should contact your financial advisor about your specific financial situation.