Financial Counselling - Money Management

Monthly Income and Expense Summary

1. Show you where your money is really going – today.
2. Provides you with the information necessary to complete a future spending plan.
3. Warns you when expenses are high.
4. Should be actual monies spent, not estimates.
5. Information can be easily tracked in a small notebook, by keeping receipts or using a calendar. It doesn’t matter how long, as long as you are accurate.
6. Helps show cash payments, the nickels and dimes that add up.
7. Provides information that can be compared to your spending plan to keep track of your progress.
8. In the future, provides information that can be used to determine if you can afford credit or accommodate savings.
9. Shows possible areas of overspending, or where money can be saved.

Ideas

1. Fix a cash withdrawal schedule and stick with it. Don’t go back to the bank or bank machine for money until your next scheduled withdrawal.
2. Use an envelope system to budget for food, gas, entertainment, etc.
3. Cash withdrawals for bill payments should be for the exact amount; not rounded to the nearest ten dollars. That type of money disappears.
4. Try planning weekly menus using grocery store flyers, coupons and cookbooks from the library.
5. Search local used and consignment dealers for furniture and clothing.
6. If it doesn’t cost more, use equal billing plans for heat, hydro, insurance, etc.
7. Put your financial records in order by setting up a filing system.
8. Read and understand all documents before you sign them. If necessary, walk away and review the documents away from the salesperson.
9. Take the time to learn about your money habits, the way that you think about money and what you want from your money.
10. If you have children, being their money education now, even preschoolers can learn about money.
11. Manage your bank accounts:
    • Do not overdraw – this is one of the most expensive forms of borrowing;
    • Record all entries into your cheque book – don’t forget service charges and postdated cheques;
    • Treat automated teller and interact transactions like a cheque (keep the receipts and write the amount in your cheque book;
    • Balance your statement or passbook every month;
    • Mark on your passbook the reason for withdrawals.

Sample Cheque Book

Financial Goals

1. Know where your money goes
2. Manage to live on existing money
3. Pay bills on time
4. Pay off your debts
5. Allocate funds for emergencies
6. Maintain or improve standard of living
7. Create a special expense fund:
   • Children’s education
   • Vacation
   • Holidays like Christmas
8. Establish a regular savings program
9. Reduce taxes
10. Increase your net worth
11. Plan for retirement
    

My Goals

Use this template to help define and track your financial goals.