A Good Measure - Step 2

After you have completed Step 1 (tracking all spending for 2-3 months), it's time to see where your money is going.

1. Take a piece of paper and make columns for Food, Clothing, Childcare, Utilities, Rent, Debt, Gas, etc, etc.
2. Go through your notebook, looking at one month at a time.
3. Divide up your expenses into the various categories.
4. At the end of Step 2, you should have 3 monthly totals for each category.

You now are beginning to see where your money is going.