How to Track Your Income and Why It’s So Important
Have you ever bounced a check or been charged a penalty for a late payment? Ouch!
Hi, this is Chuck Bentley with My Money Life from Crown.
When your outgo exceeds your income, then your upkeep will be your downfall.
One of the best ways to avoid financial problems is by tracking your income. When you know how much is coming in you know how much can go out.
Income is more than the stub from your paycheck. You’ve got to be aware of your other sources of income. These include money earned through side businesses, tax refunds, gifts, items you sell online, etc. Basically, any money that you receive!
Save all pay stubs, sales receipts, and copies of any income sources you have. Then once or twice a month, enter all those amounts into an online or printable income tracker.
This is especially important if you work for yourself or don’t have a fixed monthly income. If you earn a variable income, track every penny going in and out and base your budget off of your lowest income months.
Proverbs 22:29 says, Do you see a man skillful in his work? He will stand before kings; he will not stand before obscure men.
Let me issue a simple challenge for you. Become skillful in tracking your spending. For most of us, it is fairly simple to know how much income we have, our real challenge is to know where it is going. Expenses have to be tracked so that all the financial needs in your life can be met. Just because you spent to much on eating out does not mean you can go without having to buy gasoline. The self discipline of tracking where you are spending money will set your free from the worry and stress of running out of money before the end of the month.
For more help and encouragement in your finances, call the Crown Helpline at 800-722-1976 or go online to crown.org.