Taking care of your finances is important, specially as something that you want to not have to think about. For that is important planning which is hard specially for ADHD. I divided in to 3 areas:
Day to day management - keeping track of your day to day Budget/ year planning - make a budget for your year to know how much you can spend Long term financial planning - how to plan for your retirement Day to day management
Goal: I have control over my expenses and know where the spending is happening and have tips and tricks on how to save money.
System to keep track: using Toshl Finance to keep track of the expenses how do i make sure that things are tracked correctly Review everyday yesterday expenses and make sure they are in the correct order Do it as part of the morning routine Categories should allow to be useful for budget/expense tracking How to think about category vs tag Categories are unique, so they are needed for budgeting your total amount; things that might be substitutable (eg. going out for museum or cinema) should be in same category subcategories of categories (eg. sportsequipment in clothing) tags across categories for particular insights (weekendgetaway for weekends away) How to think about yearly vs monthly expenses Month budget should be only recurring things that happen in the same month
Saving is only relevant if total cost is considered cost of time: how much more time i need to spend for getting that saving and what is the cost of that time cost of money: if i need to put a lot of money upfront for a 1% savings (money would be better invested) extra costs: if i need to drive it costs extra gas Always on the look for opportunities, specially quick wins Recurring purchases (like grocery items that are non perishable) Recurring memberships / cots Loyalty programs/coupons on places you shop frequently research how to maximize Pingo Doce/ Continente Talk with my father, research online Budget / Yearly planning
Goal: I am able to successfully manage my cash inflows/outflows to achieve my goals
Breakup budget:
Long term financial planning
Goal: I get to a point where I have financial freedom
Saving $20k / year would allow to get financial freedom at 50 (getting 100k/year) Saving/retirement plan - model what to expect if anything from Portuguese reform - probably nothing what incentives (PPR) exist in Portugal for investments Investments (how to manage)
Finances