Obvious answer Number 1:  Draw up a budget!

I can hear you sigh already. But give me a chance to explain...

Let’s do this the other way around – BACKWARDS!

For 30 days, starting on your next salary day, write down every cent that you spend. Keep track of anything and everything, from insurance premiums by debit order, right down to retail credit cards, bread & milk – I really mean everything.

After the 30 day period, sit down with your partner, sort your expenses according to these groups and calculate percentages on each type of expense - the amounts are not important at this stage.

Here is what you should be aiming for... (Remember we are talking about a financial balance here, on a month to month basis – not proper financial planning including a wealthy retirement!) (And don’t cheat, work with the money in your bank account – not your impressive gross salary!)

 
In the event that your calculations differ vastly from the table above, please contact us without delay.

Of course your total should add up to 100 percent.  If this is not true:

• You either missed expenses or
• You / your partner has not been completely honest

Obvious Answer Number 2:  Generate Extra Income

“Yeah, right I can hardly drag myself to bed after a day’s work!”

Your excuse is valid, but again allow me to explain and please think about this for a moment: what skill or resource do you have that can assist you in generating extra income?

I recently had a client who volunteered to rent out an entertainment area at his son’s school – with him available as a barman for functions. He gets paid and the school raises funds.  They are fully booked until September 2007. Not bad at R200 for a Saturday night!

Obvious Answer Number 3:  Cut your spending

Make a list of your unnecessary expenses.  Be brutally honest.

A few examples:

• Buying cafeteria or take away food at work
• Mobile and landline phone services
• Liquor
• Satellite television and gym contracts