The 2×2 System is where you set aside two hours on the calendar two times a month to complete a predetermined financial task. This modest but consistent effort can help you sustain financial health and build wealth in bite-sized chunks. Read January’s blog for advance planning tips that can set you and your loved ones up for success. We hope you find this month’s information helpful.
February Tips To Move You Forward Financially
While this may be the shortest month of the year, even with an extra day this leap year, there’s still time to take actions that support your long-term financial goals.
To-Do 1: Track My Spending
How much did you spend on groceries last month? Or transportation costs? Here’s a stumper; how much did you spend on drinks and snacks at your favorite coffeehouse last month? Before you can truly harness the strength of your financial resources, you need to know where all your money is going. Yes, all of it. You may be surprised to learn how much you spend on some things and how little on others. Tracking your spending can also help you identify areas where you might want to spend less. Whether you prefer filling out a worksheet or entering your numbers into an electronic spreadsheet, getting a handle on where you’re spending your hard-earned money is essential for making the best choices for your future.
Tip: It takes work to write down all your spending or remember to keep every receipt. If you have online access to your accounts and use a debit or credit card for all your purchases for January, you’ve instantly simplified the process of recording your expenditures.
To-Do 2: Set Your Savings Goals
Meticulously charting your spending habits is one of the least fun parts of maximizing your money. It just is. So, to balance that out, your second 2×2 session for the month is more fun. That’s because you get to dream! What do you want to accomplish this year? Start or expand your emergency fund? Got a fabulous vacation in mind? Want to wipe out your credit card debt? Is a new or used car on your list? Now is the time to commit to your goals. By writing them out, you give them meaning. It can also help you prioritize your spending. And if you’re in a relationship, it’s a good way to check that both people are on the same page and working toward shared goals. Clearly defined short-, medium-, and long-term goals help solidify them in your mind and turn them into action.
Tip: Famed author Antoine de Saint-Exupéry wrote, “A goal without a plan is just a wish.” Make your financial goals SMART (Specific, measurable, achievable, realistic, and time-bound) to transform them from hope to reality faster.
Final Thoughts
We hope this month’s 2×2 tips inspire you to track your monthly spending and set savings goals. Why not start now? Take a moment to write down how much you spent today. Do the same tomorrow, and so on. Make it a routine part of your day; we bet it won’t take you more than a few minutes daily. It’s never too late to start. And even small actions can help you reach your goals. Remember, we’re here to help you lead your best financial life. If you need help opening a savings account, connect with us online, through Tulee, or call 800.877.2345.
Thanks to our friends at Balance for these smart tips.
