00:00Spending money is easy, but keeping track of it seems like a lot of work.
00:05Unless you want a life full of late fees and a constant fear of checking your bank account,
00:09you'll want to follow these six easy steps for building and sticking to a budget.
00:19Check your pay stub and tally up your net income.
00:21This is how much you're actually taking home.
00:23Don't add money you aren't sure you'll receive, like bonuses or tax refunds.
00:27Make a list of your monthly expenses like rent, groceries and that awful loan payment that you can't escape.
00:32Then do the math and make sure you have more money coming in than going out.
00:36Now for the little things that make up day-to-day spending, like your cat's favorite toys or happy hour cocktails.
00:41Keep a four-week journal for these expenses and use those results to figure out how much dough you're going through in a typical month.
00:47Plan ahead for yearly events that will require extra cash and include them in your budget.
00:52This means anything from holiday presents to weddings to your kids' back-to-school fundraisers.
00:56It's time to find places to trim the fat.
00:59If you're spending more than you make, maybe you can cancel that gym membership you never use and jog in the park instead.
01:05Finance programs like Quicken or apps like Mint and Digit have tools to help you create a budget and stay on track.
01:11You'll categorize your spending and can connect your bank account too.
01:14Now that you have a hold on your finances, you're ready to go out and conquer the world.
01:18Coin it, life well spent.
01:23Presented by GEICO.
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