Turns out I'm not a Kardashian - How I'm Saving Money
At 29 years old I have finally decided to pay attention to my finances. Big, I know. Earlier this year I had a meeting with my bank, and got the news that I was spending WAY too much, and really needed to stop, like 10 years ago. This news hit me in a way I can only imagine comparable to how Kylie Jenner felt when she found out she wasn’t actually a billionaire. Although heartbroken that I do not have limitless funds, I have decided to get myself and my finances together, salvage what I have left, and attempt to save and re-build. Below I’ll show you the simple first steps I am taking to save and kickstart this journey!
Step 1 - Download a finance tracking app and get real. I am using Mint. Mint breaks down and organizes your finances for you in a VERY clear way, which for me is VERY much necessary. You can see all your spending broken into categories, set budgets and goals, track your credit score, get reminders to pay your bills, and so much more. Using an app like Mint shows exactly where your income is going, and makes it near impossible not to be realistic with yourself.
Step 2 - Decide what can go. Take a look at what your highest spending categories are and figure out what you can realistically cut down on. My top 4 were rent, pets, restaurants, and shopping. Rent and pets just are what they are for me. Living in Los Angeles (or any major city) your rent is more than likely going to be your highest expense, it’s a sacrifice made by millions of us whether it makes sense or not. My pets are my life (sad? maybe). I have 1 dog and 2 horses, that require an unfortunately large amount of non-negotiable monthly costs. So that leaves restaurants and shopping to work on. For restaurants, I will start by not ordering in as much. Postmates, I love you, but with the fees and the food, it’s getting to be too much. For shopping, I have vowed to only buy the necessary and stop buying unnecessary clothing and home items.
Step 3 - Set realistic goals. Beginning this fiscal journey can be extraordinarily overwhelming, especially if you’re like me and are brand new to budgeting. To soften the inevitable blows of cutting back my lifestyle, and in attempts to not feel like a total failure, I’m setting super realistic financial goals. For me, this includes trying to spend less in each spending category each month, even if it’s just a dollar, and keeping my net worth in the green. I’m trying to be proud of myself for these little accomplishments, and (fingers crossed) will grow from there. Mint also has a built-in goals feature if you’d like to track your savings in a more concrete way.
Alright, that’s about it for my first steps. I’ve found some amazing cost-effective alternatives that I’ll share soon, so check back in for updates! Also, a note, I am by NO means an expert in this field. In fact, I am the complete opposite of an expert. This is meant to be a record of success and failures, we’ll find out what works together!