Week 2 Challenge:
Money Management

Pocket Protector Superhero
“Plan ahead to get ahead!”
– Pocket Protector

 

Dr. Rich Wisely SuperheroWelcome to the second week of our Superhero Financial Challenge. You should be commended for your desire to improve your financial well-being.

This week, I, Dr. Wisely, will share resources that will help multiply your money management moxie! With persistence, you will be planning like the Pocket Protector!

Wherever your budgeting balance is today, we will help you reach the next level in your super journey. Let’s begin!

 

Week 2 Challenge: Money Management
for Beginner Budgeters

Congratulations on making it to the next step of your financial challenge. If you are committed to changing your future, there is nothing that can stop you.

Don’t stop saving now that you’ve made it to Week 2! Make it a habit and you will never have to worry about it again. Managing your money is similar, and as a bonus there are endless ways you can be creative about how you manage your money.

Since you aren’t actively managing your finances, your first step will be to start tracking your income and expenses against a financial goal. When you measure what goes in and out, it’s a lot easier to keep more of it in (helping you save more in the process)!


Read the suggestions below. After you have completed one or more of these items, email DrWisely@unitusccu.com, include “Mastering Money Management” in the subject line and tell me of your success. This will earn you a chance to win $500!*

How do you manage your money? It is not easy, but it can be simple once you know the way. Follow the guide below and you will be on your way to meticulously managed money!

Narrow your focus with the Unitus Pathfinder.

  • Your current life stage and circumstances help determine how to budget your money. If you’re getting ready to start a family, you’re going to follow a different path than if you’re trying to pay down debt.
  • Visit the Unitus Pathfinder and select the path that matches where you want to go next. Find the guidance that would work for you and make a plan that incorporates the guidance you see there.

Set up your Personal Financial Management (PFM) tool.

  • Having all your finances in one place gives you more clarity, less worry, and more confidence to make smart choices with your money. Choose a PFM program to start.
  • If you’re a Unitus member, enroll in Total Finance. Note that after the first 30 days of free service, a $2.00 monthly deduction will be made from your designated account.
  • If you’re a non-member, or are interested in a different program, there are other options available: You Can try Quicken, You Need a Budget, or other well-reviewed programs. Read up on each program’s benefits and limitations and choose the one that best fits your lifestyle.
  • To help you get started, we have developed a comprehensive budgeting worksheet that will walk you through the key elements of your budget and how they all relate.

Track your income and expenses against a goal.

  • Create monthly tracking for income and expenses.
    1. Calculate all your income using your PFM or a budgeting worksheet.
    2. Calculate all your outgoing expenses using your PFM or a budgeting worksheet. Build in a little room for unexpected expenses.
    3. If you don’t use a PFM, use our comprehensive budgeting worksheet.
  • Set a Budget Goal for exactly how many dollars you will have at the end of the month. Keep track of your spending and at the end of the month write down your Actual Spent. Keep your Actual Spent lower than your Budget Target. Following this practice alone will keep you financially healthy and happy into the future.

Give every dollar a job.

  • As soon as you receive your next paycheck, give every last dollar a job. What does a job look like? Here are some examples:
    1. Savings (from paying yourself first)
    2. Rent
    3. Utility bills (water, electric, gas)
    4. Groceries expenses
    5. Pet food, toys, medicine
    6. Monthly insurance payments
    7. Monthly auto payments
  • Once you have covered your mandatory expenses for the month, give every remaining dollar a job. Have some fun with it! It could be a surprise gift for a family member, a night out at the movies, or a child’s education fund. Just make sure some of this remaining money goes to your savings account.
  • Throughout the month, track your spending in each area. If your restaurant money started at $60 and you spent $30 at dinner last night, you’ve got $30 remaining.
  • This method works great because you know ahead of time how much you can and can’t spend, so you won’t have any anxiety before swiping your card or handing over cash for a purchase. If it fits in your plan, you’re golden. If it doesn’t, you don’t buy it! Any dollars that didn’t get a job by the end of the month will be put it into savings for an even better long-term outlook.

Want more motivation to manage your money?

We have a secret weapon – our Masters of Money Management, who dedicate themselves to improving others’ financial well-being through education. If you are ready to take money management into your own hands, fill out the boxes below and a Master of Money Management will reveal themselves to you. It could change your life for good. Click here to get started.

Weekly Challenge 2: Money Management
for Intermediate to Advanced Budgeters

Congratulations on making it to the next step of your financial challenge. If you are committed to changing your future, there is nothing that can stop you.

Don’t stop saving now that you’ve made it to Week 2! Make it a habit and you will never have to worry about it again. Managing your money is similar, and as a bonus there are endless ways you can be creative about how you manage your money.

Since you already have some experience managing your money, we will present some ways you can tighten your money management, improve your cashflow, and use the power of long-term thinking to reach higher levels of success.


Read the suggestions below. After you have completed one or more of these items, email DrWisely@unitusccu.com, include “Mastering Money Management” in the subject line and tell me of your success. This will earn you a chance to win $500!*

How do you manage your money? It is not easy, but it can be simple once you know the way. Follow the guide below and you will be on your way to meticulously managed money!

Define your net worth.

  • This is your financial bottom line, taking all of your finances into consideration. It will help you chart your path to growth.
  • Calculate your net worth (assets minus debts).
    1. If you have Total Finance, you are in luck! Total Finance will calculate this automatically for you using your aggregated accounts. If not, follow the steps below.
    2. Add up the values of all your checking and savings accounts.
    3. Add the value of all your investments and retirement accounts.
    4. If married, include the value of your spouse’s accounts as well.
    5. Add in the value of your home and any vehicles you own. (You can estimate your vehicle’s market value at NADAguides.com and your home’s value at Zillow or eppraisal.com. Remember these are only approximations.)
    6. Subtract the outstanding balances on any home or auto loans you have.
    7. Subtract other debts such as credit card or student loan balances.
    8. The resulting number is an estimate of your net worth. Refer to this Time Money article for more information.

Set your long term goal.

  • Based on where your net-worth is today, set a long-term goal for the net worth you would like to have. Make this goal last between one and five years. If it’s shorter than that, it’s too short. Attach emotional significance to this goal (do you want to reach it to support family? Achieve your travel dreams? Start that business you’ve been having visions about?) This will help you clarify what behaviors support your goal, and what behaviors hinder your reaching your goal. Then you can focus on the behaviors that will help you reach your goal.

Take financial advice.

  • While you likely have a number of strong skills that make you a powerful asset to your community, family and employer, you may not have the same level of proficiency with money management. Are you confident that you know how to build wealth through investing? Or that you can personally ensure you will have enough retirement savings to live comfortably after retiring? You may have quickly answered “yes” to these questions. If you didn’t, save yourself the stress and allow a financial advisor to help you manage your money.
    1. Contact MEMBERS Financial Services, advisors exclusive to Unitus members.

Securities sold, advisory services offered through CUNA Brokerage Services, Inc. (CBSI), member of FINRA/SIPC, a registered broker/dealer and investment advisor. CBSI is under contract with the financial institution to make securities available to members. Not NCUA/NCUSIF/FDIC insured, May Lose Value, No Financial Institution Guarantee. Not a deposit of any financial institution. CUNA Brokerage Services, Inc., is a registered broker/dealer in all fifty states of the United States of America. FR-1716745.1-0217-0319

 

Educate yourself.

  • Michele Ferrero of Ferrero Rocher (17). Larry Ellison of Oracle (28). Paul Allen, Owner of the Portland Trail Blazers (13). This is a list of people without college degrees, matched with their current net worth in Billions. They are certainly outliers (I didn’t even mention Bill Gates, the leader of this group) but they are also proof of something all wealthy people know: self-education is an indispensable factor in becoming wealthy.
  • Buy a book on money management and study it (or better yet, borrow one from the library for free). Take a financial literacy course. Schedule a 1-on-1 session with one of our Masters of Money Management to discover how to master your finances. There are endless ways you can manage your finances and as many ways to learn how. Just get started and take it one step at a time.
  • Read our blog. We publish articles at least once every month designed to improve your financial well-being. Past topics have included tax preparation tips, a home maintenance checklist that can save you money, and why it is so important for young employees to save.

 

Missing Something from Money Management?

We have a secret weapon – our Masters of Money Management, who dedicate themselves to improving others’ financial well-being through education. If you are ready to take money management into your own hands, fill out the boxes below and a Master of Money Management will reveal themselves to you. It could change your life for good. Click here to get started.

Magnetize a Master of Money Management

Fill out my online form.

Leaving so soon?

By clicking on this link you’ll be leaving Unitus Community Credit Union to visit one of our trusted partners. If this was done in error, please click cancel.

Otherwise, come back and visit anytime!

Cancel Accept