Once you've completed your reverse budgeting process, the next step is to make the necessary changes to align your finances with your dreams. Unfortunately, many people get stuck on this part.
You want to make the necessary changes, but you're not sure where to locate and which financial resources to redirect towards your dreams.
I ran into the same problem until I stumbled upon a way to easily identify the financial resources that could be redirected with minimal impact to my current lifestyle.
Here's my simple three step method that can help you do the same:
Step #1: Print out your monthly statements for the past year from all of the accounts you use for spending.
These would be your bank account and/or any credit cards that you use.
Step #2: Take a minute to scan your spending for each individual month.
You don't need to do any calculations or write anything down. Just scan through what you spent money for the month that's in front of you. Repeat this process until you've done the same for each month of the past year.
Step #3: Identify what immediately jumps out at you.
Where are you spending money that isn't producing meaning?
As an example, I noticed I was spending a lot on eating lunch out. It was money well spent when I was meeting my wife or a client / friend, but it was more about convenience when I was eating lunch alone. I'll be bring more lunches from home on days I don't have lunch plans and putting my savings to better use.
How about you? What immediately stood out about your spending?
Where can you realign your spending with minimal impact to your current well-being?
You don't have to look at your bank account and wonder where it all goes and whether it's going to the right place anymore.
This simple three step process will help you realign your financial resources towards realizing your dreams and make sure the money you are spending right now is producing the fulfillment & enjoyment you desire in your life.
Do you need help getting started?
Take the first step and schedule a call today. I'll be happy to walk you through the process.