Look at all available resources on hand
To reach your goals, you'll need to look at all the resources available to you. They may include time, energy, skills, interests, knowledge, community service or material goods.

Decide how much money you are worth
If you added up everything you own and subtracted everything you owe, would you own more than you owe? Or would you owe more than you own? Your financial net worth is determined by subtracting all you owe (your debts) from all you own (your assets). It gives you an overview of your overall financial standing. This is important information, especially when it comes to determining your insurance needs, applying for loans, or just planning your financial future.

What are you making?
The money spent on meeting basic living expenses each month and to meet the goals you have set for yourself, comes from various places, such as wages, tips, commission, rent, interest income, dividends and/or retirement benefits.

What are you spending on?
Do you know how much money you spend on food, housing, transportation, clothing, personal care, medical care and other extras? Keep a record of your spending, dividing your spending into categories such as fixed, variable and miscellaneous expenses. You can divide this into daily, weekly, monthly, seasonal, or yearly expenses.

Build a budget and stick to it
If you have listed down the "components" for the preceding two points, you essentially have the makings of a simple budget. A budget can help you to identify and list potential cutbacks. Take advantage of every opportunity to break your old buying habits and encourage a new one. Do something every day that will help you save money - consider forgoing one coffee break a week at work. Or you may bring your own instant coffee to work rather than buying coffee at the nearest Starbucks.

Review your budget
When revised regularly, a budget helps you evaluate and monitor your financial health. They reveal your progress, or the lack of it, towards attaining your financial goals. Here are some questions you can ask yourself as you spend your money. Is this the best use of my money right now? Will this purchase help me reach my financial goals? Is there something else I need this money for? Remember, what you have in the future depends on what you do with your money today.