If you’re constantly wondering where your money goes to, try breaking down your expenses into daily costs — the amount of money you spend every day on your lifestyle.
Tue, 20 Dec 2005
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Most people look forward to the end of the month, especially when they know that they are about to receive their next salary cheque. But even though we have seemingly well paid jobs, there is often too much month left at the end of our money.Have you ever wondered where it all goes? If you want to find the answer to this question you need to keep a track of your daily expenses. If you add up the money you fritter away each day, the disappearing act that your money does will no longer be a mystery.
Average daily expenses
1) You take a shower, brush your teeth, wash your face, apply deodorant, and spray on some expensive perfume/aftershave: Cost = R15.25. 2) You drive 15 kilometers to work. This will cost you approximately three rand per kilometer for petrol and wear and tear. Cost = R45.
3) Buy the morning newspaper and you let the vendor keep the change out of R5. You pick up a cup of coffee and a muffin from the local deli. Cost = R20.
4) You buy a pack of cigarettes. R10.
5) You meet friends for lunch. R35.
6) You call a friend to arrange plans for the weekend, and make a few more calls to pass the time.Cost = R10.
7) Time for a hair cut. R80.
8) You buy your favourite magazine and pay full price because you haven’t bothered to subscribe.R20.
9) Go for drinks with your buddies at an expensive wine bar. Two glasses of chardonnay set you back R36.
What are your fixed costs?
Cut out unnecessary items
To save on motor costs, use a car pool, and I don’t even have to tell you about the financial and medical benefits of giving up smoking.
Make a rule not to eat or drink anything in a restaurant more than once a day. So if you buy a muffin and coffee in the morning, then lunch and evening drinks are a no-go zone. Take that cellphone off your ear and before you make a call ask yourself if it can wait until you are near a landline. Most of the time, the answer will be yes.
Add up the figures