On a recent 4-hour drive up the California coast, Lisa and I conducted a deep dive of our budget. We’ve spent this summer traveling, and between feeling bogged down by our SUV full of belongings and facing the sticker shock of gas and food prices here, we felt compelled to re-examine our spending.
Throughout the last 12 years as a couple, we’ve gone through many evolutions with budgeting. We’ve tested all the apps. We’ve gone from assigning every dollar each month to now just running an occasional review on Mint. We’ve alternately tightened and expanded our budget to experiment with what brings us value and joy.
How you budget is very personal, and there’s no right or wrong – what’s important is to decide on the rules for your spending that aligns your money to your priorities, and then come up with a system to keep yourself accountable.
Here are 5 spending rules that Lisa and I have for our family:
While it takes effort, I’m a strong believer that being intentional about your purchases gives you the best ROI on your wealth. For us, this summer has resulted in a renewed commitment to a simpler life. What are your spending rules?