three possible outcomes zscenario 1:income equals expenses zscenario 2:income exceeds expenses...

Three Possible Outcomes

Scenario 1: Income equals expensesScenario 2: Income exceeds

expensesScenario 3: Expenses exceed income

Three Ways to Adjust Your Spending Plan

INCREASE income.Sell assets.REDUCE expenses.

Reducing ExpensesDo I have optional expenses I can

eliminate?Do I have variable expenses I can further

control and reduce?Can I eliminate any assumptions about my

“FIXED” expenses?

Key Question:

How serious are you?

Adjusting the Spending Plan

Individual Activity:

A Record-Keeping System Is:

A way to keep track of how much you spend.

Benefits of Record Keeping:

Gives accurate dataImproves COMMUNICATIONAllows for mid-course correctionsProvides ACCOUNTABILITY

The Truth about Record Keeping:

It’s simpler than it seemsIt takes less time than you thinkIt does not require a Ph.D. in math

Envelope System

Envelope System

Hints to Make Record Keeping Easier:

Keep your Spending Record where you will see it daily

ROUND OFF to the nearest dollarCombine categoriesUse “EVEN billing”Have a miscellaneous cash envelope

Spending Record FormAnswers

18

38

Spending Record FormAnswers

17

Spending Record FormAnswers

38

17 386941

Spending Record FormAnswers

46

Spending Record FormAnswers

17 386941

Key Question:

Is it worth two minutes a day to bring this crucial area of my life under control?

Electronic System

There are some cautions involved with starting here.

Keeping Your Commitment:

Select your record keeping systemCommit to using these tools for 90 days.Do not become discouraged.Seek assistance, if needed.Pray daily for God’s guidance and

wisdom.