money management
Part of spending money is knowing how to manage it, to make sure you're spending it wisely and building up savings to meet your future goals. At MTW, we want to give you some beginning tools so you can build a budget that works for you.
step #1: know why it matters
There are many reasons it can be helpful to have a good grasp on how your money is managed.
We identified 4 key things you're able to do when you have a good grasp how to manage your money.
step #2: learn key budgeting terms
Budgeting is one way of keeping track of your money. It allows you to create a spending plan for your money that doesn't leave you hanging when big things come up.
Think of a budget like a subtraction problem, with each part of a budget playing an important role.
Now you can start breaking down expenses even more, into the types of expenses that show up in your life.
step #3: follow the 70, 20, 10 Rule
What makes a budget more complicated than just a math problem, though, is the fact that there are so many choices involved.
Luckily, there's a shortcut you can use, the 70, 20, 10 Rule:
step #4: make a savings plan
Using our Money Management Module, you will make a copy of a Monthly Budget Tracker to create your own savings goal. This will help you and your YDM make a plan to save for purchases you want in the future.