Why Is It Important To Track Expenses?

Source

You may be wondering why we are asking you to track your expenses. It may sound too easy or may not sound that important of a thing to do, but there are some major key benefits for tracking your expenses.
One great benefit to tracking your money is total finacial awareness. Tracking every penny helps you to know where your money is going. Are you going into debt because you don't know how much you are spending on day to day things or do you have money left over each month that you could be putting away in savings? If you aren't tracking all your spending, then you may not know where you stand financially each month.

Once you know how much you are spending, you can start to develop better spending habits. If you know how you spend each penny, then you will be more aware the next time you grab a few extra things at the gas station. With more awareness comes more savings and better spending habits.

After a month or two you will better understand how much you make, how much you spend and where you can put more money back into your budget. Knowing these key things will help you to spend a little less and save a little more.

Stay tuned for Debt Challenge #2 next Monday. Follow us on a debt challenge journey to help get you out of debt and save up for the future!