blogPg12_routines.html eMONEY: A USER GUIDE


ROUTINES

MORNING

STATEMENT

EXPENDITURE

POINT-OF-SALE

  • Grocery Store
  • Gas Station
  • Grocery Store

HOW TO SPEND MONEY

One thing I've observed, over more than three decades of operating on a budget, is the difference between spending money, and spending money well. Money spent well evinces a higher degree of satisfaction. It stands to reason, then, that satisfying one's pre-eminent need with each expenditure virtually guarantees the highest degree of satisfaction, the biggest bang for the buck.

Coincidentally, on the subject of pre-eminent need, there is perhaps no greater authority than Abraham Maslow.

Keep your gas tank full, and pay attention to gas prices, as you drive. When you get down half a tank, plan to fill it up at the lowest price. If it gets down to a quarter tank, fill it up at whatever price is convenient. Do not let your tank go below a quarter full, for three reason: 1) you can never tell when an emergency may arise, 2) the last thing you want is to have to stop and get gas when you’re already late; 3) your fuel pump will perform better and last longer.

Routines That said, the key to minimizing the time it takes to maintain a budget is to use your phone to make the online banking transfer as part of the purchase process. What do I mean by that? (cont.) I’ll give you two examples, both of which have to do with occasional expenditures, expenditures purchases that you have budgeted for but they don’t have a specific due date. And they can be frequent or in frequent. First, frequent expenses (cont.) You stop at the gas station. Incidentally, I recommend that you fill up every time you stop, and never let the tank get below a quarter of a tank. Why? (cont.) Three reasons. A: your fuel pump has to work harder when the tank is low; B: you don’t have to stop as often when you fill it up every time; and C: it could save a life. If you always have at least a quarter of a tank, you’ll never be late to an appointment because you had to stop and get gas first. And, as far as saving a life, if you have an emergency and need to get yourself , or your child, or your pet, and you have to stop and get gas it could, literally be the difference between life and death. Or if you have to evacuate, due to a hurricane, or a tornado, or a toxic train derailment, or a nuclear Power plant explosion, or you need to respond to a school shooting, do you really want to have to stop and get gas first? Because thousands of people are going to be wanting to stop and get gas. A lot of people, when they stop and get gas, they get just a couple dollars worth or maybe 10, because they don’t have enough money to get more. But if you budget, the way I suggested this book, you will have saved in advance to pay for your gas, and you will have the money. It will be in your bank sub account, available to transfer to your checking account, so you can pay for it with your debit card. Although, practically speaking, you will want to put it on a credit card, a dedicated credit card, and let the credit card company do your expense tracking for you, and store that expense data for you, online, where you have access to it from anywhere in the world, 24/7. I’m jus’ sayin’. (cont.) But back to the point. (cont.) When getting gas, while the tank is filling, pull your phone out, open your bank app, and begin to initiate a transfer of funds for payment - from the Auto Fuel sub account to, for payment - either the Distribution (checking) account, if paying with a debit card, or to the Proxy (the DCC sub account). If you begin this process while to tank is filling, when the pump shuts off and you find out what the total is, you will be at that point in the transfer where you can just enter the total and tap transfer. It doesn’t add any time to your transaction, and the expense tracking and payment are done automatically, saving you the time it would take to do those things later. (cont.) Questions? (cont.) I didn’t think so (cont.) Making the online transfer at the time of purchase is the key to minimizing the time spent maintaining a budget. (cont.) Here’s another example: at the grocery store, having loaded all your items on the conveyor, insert your credit card into the device, pull out your phone, and begin the online transfer. When the clerk hands you the receipt, enter the total, and press transfer. (cont.) Theoretically. (cont.) In real life, you will probably have to move out of the way for the next customer, and complete the transfer before leaving the store. Or after your car is loaded. Or before you leave the parking lot. But regardless, the principle is the same: execute the online transfer as part of the purchase process, whether before you leave the store, or before you leave the parking lot. By making the online transfer a part of the purchase process, you eliminate three steps that would otherwise have to do later, would add that early take more time, might be overlooked, and would require reviewing a receipt and creating some form of written record. If you want to be able to devote the absolute minimum amount of time to maintaining your budget, do as I suggest. Your life will be so much easier.




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Puppetmaster: Pulling the strings

Topic 1: A Calendar that is an Income and Expenditure Record that answers the question "What if?"

Please proceed to the next lesson

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