Spending diary

Why keep a spending diary? The first part of becoming wealthy is about taking control of your money and spending less than you are earning. It will be very hard to control your spending if your are not aware of where your money goes each month. Every day for the next three months make a note of your daily spending which includes both what you spend in cash as well as payments you make through your bank. The idea behind this is that you will be able to identify where you are spending and look for ways to reduce how much you spend on each category, The less you spend then the more you will have to reduce debts and invest. Just as in any business your bottom line needs to be as low as possible.