As we continue to grow and continue to be Loud, will always appreciate you for taking 5-10min of your day to read what I have to say, thank you!

This week I encourage you to focus on your plan not the plan of the media or others, your wealth is not their wealth!

Back To School Guide

It’s that time of the year again where kids are going back to school or gearing up to go back to school. This being the first year where my firm is virtual and no daycare or summer camp for the boys, I have learned that time with my boys is irreplaceable and that the structure of School is amazing! Two things can be true at the same time. So for all of you who are my clients and those who are not my clients yet, I feel the same way you do, that personal finances go by the way side in the summer months as you are focused on getting through.

This is the reason for today’s guide, to start to get you back to where you want to go and shed your summer “fat”. Remember, ¼in of fat is delicious and 1in of fat is too much so let’s get our cash flow trimmed up heading into Fall aka FOOTBALL SEASON!

Step #1 - Get Yo Mind Right

You have heard me say it 1000 times before but Money Mindset is key to success.

First thing we need to do is sit down and breathe, understand that the summer either inflated our expenses, lowered our income or both, Recognize it, internalize it. This shall pass as we move forward into Fall.

Okay you now have recognized that summer has occurred and as everyone gears down from vacation your business revenue will increase and your over expenditures will decrease, BUT, do not forget XMAS is on the horizon. Yes, I know, it’s August but XMAS is a leading “expense” and stressor for most families, so take the time to recognize that and build it into the next 5 month budget.

Step #2 - Review Budget

This PART SUCKS! I get it. It is the crucial step though.

We as humans really hate self-reflection, ESPECIALLY when it comes to our MONEY. We know deep down that we have overspent or spent in a category we shouldn’t have, this is why in every budget I make for clients you have to have “FUN” money, you have to be able to spend some money on a whim.

This review is a lot less intense then the End of Year review I have spoken about last year’s issue you can read here.

For the summer review, I just want you to take May, June and July averages that you spent and align what those look like compared to your current allocated budget, an example below (just quick excel sheet). We use a software that tracks each transaction but you may not have this so easy excel sheet can also help you.

As you can see above, during the summer certain items managed to sneak higher (utilities, dining out, child care, travel, etc.) You now have the information to review and understand were these spikes that were not planned for during your Beginning of the year budget setting or are these new costs due to inflation or a change in your household?

Step #3 - Make Adjustments Where Necessary

Clearly we cannot keep going at this spending clip otherwise we will run out of money and tailspin mentally. So it’s time to make adjustments.

You have now review everything and understand that some costs were just overspending (Which happens to the Best of us) and recognize that pattern. Cool, those will revert back to their averages (make note of these though, so next year we can plan better).

For those expenses that seem to be on an upward trend (gas, groceries, dining out, entertainment). It is time to take a better understanding of your lifestyle and what is important what is just you being “EXTRA”.

I will give two pieces of advice here. First being, Groceries Vs. Dining out. It is okay to cook at home and it is okay to dine out…it’s when you do both that it hurts your budget. So, if you love going out then reduce groceries at home and vice versa.

Second, Entertainment vs Travel… These are tough because Travel is usually something in the future where as Entertainment can be spontaneous. I want you to dig deep on who you are and what is more important. For example, we LOVE Travel (as you can tell) so we don’t spend extra money on Concerts, Water Parks, Bowling, Movies (that often), because we want to use those monies for Hawaii and Camping Trips etc.

Step #4 - 60 Day Check-In

Now that we have made those adjustments, let’s check in on Oct. 1st. That is 60 days, 60 days with new adjustments.

This check-in is just to see if items have returned to normal and how your lifestyle has changed or not changed.

If you feel more stressed and your lifestyle doesn’t feel like you, then go back to Step #1 and work your way through it again.

Once you feel good and adjustments have been solid for you, then stick to reminding yourself to check in and gear up for the end of year review coming in December!

Step #5 - Enjoy The Rest Of Summer

Grab a drink, go outside and watch the summer storms, throw water balloons at your kids or hell your neighbor!

You have done what you can now just enjoy the rest of Summer before the fast pace nature of the Fall hits us. Sports start, School starts, and Holidays are only about 90 days away.

Next Week’s Issue

529 plans, education planning?? Tips and Tricks to using these plans for K-12, higher education and Disability?

Hottest Tweet of the Week….

This summer has been a focus on cash flow and refocusing not only my family but my clients. The weight of inflation and the change of the overall economy has burden us all. This tweet is to show, I am just like you, a business owner trying to grow and dealing with their personal finances all at the same time.

We are in this together!

#NoBSWealth Clip of The Week

Cannot wait until next week or just want more, check out our podcast @nobswealth and catch us on Youtube. You can always follow me on Instagram and Twitter as well! Or just email me, [email protected].

Most importantly come check out our Website and give us some feedback. Make sure to subscribe to this newsletter and if you are wanting time to chat with me 1on1 you can schedule that here!