Focus on your future... today.

Hey there! ?

It’s no secret that the easiest way to improve your finances is to unlock the mystery of time travel with a list of carefully researched lottery numbers in your pocket.

If you can’t do that, being more thoughtful about where your money goes can take you further than you think.

Intentional spending leads to effortless saving.

Remember that talk on the first day about trade-offs?

When you start thinking about money as a possibility instead of a problem, you start getting clear on what areas of spending are really worth it. And then you’ll give your dollars jobs that really matter to you and you’ll see each and every one of those dollars as a building block to the life you want to live.

It’s not about denying yourself life’s simple pleasures, it’s about making sure those pleasures fit into the big picture. (Get the latte. Order the tableside guac. AND plan the vacation.) ?️

Create Some Breathing Room

The truth is, improving your finances (and your life!) is going to require patience and a little time travel—not in the cool Back to the Future sort of way, but you do need to focus on the future that you want and make a plan to get there. ?️

This journey is going to require some resilience and our next question will help you establish that:

What can I set aside for next month’s spending?

When next month’s expenses are covered, payday and due dates don’t really matter and financial emergencies become minor inconveniences. Eventually you’ll be paying next month’s bills with this month’s money. This built-in breathing room helps you rest a little easier and frees up mental space for something more fun, like learning everything there is to know about King Henry VIII’s many failed marriages. (Just me? Okay, but you’re missing out.)

In YNAB, this looks like assigning dollars to next month’s expenses, either by moving forward to the next month or creating a “For Next Month” category until you get there.

Next Steps

Up next, we’ll talk about the time our friend Dave accidentally ate part of his motorcycle. ?️

But for now, think about what steps you can take to get a month ahead with your money. Do you have a bunch of dollars vaguely employed as an emergency fund? Promote them to next month’s spending instead to save yourself the stress of timing bills to paychecks. If you’re not there yet, set up a category for next month’s spending so you can get started.

Spendfully Yours,

The YNAB Team