Those who know me in person know that I never go anywhere without my notebook, which also acts as my de facto money journal.
My notebook is my primary organisational tool, my productivity hack. It’s how I keep track of my life, including my financial life. I jot down everything* in there. The way I see it, what doesn’t get written, gets forgotten.
(*Except for my passwords. I use a password manager for that. Security first kids)
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Anyone else get really happy when it’s time to break open a new #notebook?? . I got a bunch of these Scripta Notes #journals during #bigbadwolfbooksale for RM12 each. They hold up really well for 7 months of heavy use, such a good buy 😍 . In the last notebook, I stuck stickers received from events. You can see #peatix, #wordpress, #projectgutenberg and #centrair there. I think I’ll continue this tradition 😊
Here’s a list of financial-related information that you can include in your money journal.
#1 – Your monthly income
How much do you earn per month? Combine whichever applies from below:
- Monthly salary (for those employed)
- Own business income (if it fluctuates, as it often does, a guesstimate or average will do)
- Rental income, if any
- Freelance income and side hustles with regular customers and clients
- Any other regular income
#2 – Extra income
Before you ask, yes extra income is different and separate from monthly income (#1). It’s more like additional income as opposed to your main income.
Extra income might come from
- Freelance income and side hustles (irregular or just starting out)
- Selling pre-loved items
- Sudden windfalls – tax refunds, winning competitions, etc
- Any other irregular form of income
#3 – Expenses
I *love* tracking my expenses and highly recommend this habit. You get to discover parts of your personality that’s hidden to even yourself! I love it so much that I write and publish my monthly expenses breakdown, and my annual income and expenses report.
Personally, I use notebook + app combo. For example, this was my spending breakdown in May 2019. Then I’d write reminders in my notebook on areas where I can do better.
Read this article if you’re interested to start or restart expense-tracking. I’ve included tools and tips that you can try.
#4 – A list of all monthly financial commitments
The general rule of thumb is fixed expenses shouldn’t take more than 50% of your income (see #1). The actual definition of fixed expenses varies, but usually includes:
- Car instalments
- Overheads (if own business)
- Credit card instalments
In my experience, the figures tend to change every 6 months or so. For example, I was paying braces instalments until I finally paid it off. Likewise for my laptop instalment.
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Every so often, I would check my monthly ‘must-pay’ commitments. Currently the amount stands at RM2916.33 😱 . Saving grace: #braces will be paid off soon, #asbloan is #gooddebt, and I’m #carfree (if I kept my car, this amount would be higher!) . How much are your monthly commitments? . #monthlybudget #budgeting #personalfinanceblogger #personalfinancemalaysia
So yea, do this self-check every so often just to be on track of your finances.
#5 – All your subscriptions
Specifically, you should definitely, definitely know how much money leaves your account every month without your notice. Auto-payments are great for some investments and payments (avoids late fees etc), but not for products and services you don’t use (media subscriptions etc).
Related: What Subscriptions I Pay For And Why
#6 – Annual payments
This one is a bit tricky, and sometimes require a lot of guesstimating. You also don’t know what life will throw at you.
For example, in my own list, I’ve included things like:
- Birthday gifts for loved ones
- Membership and license renewals
- Services I use and pay for annually
Your actual figure will probably differ wildly from your estimated figure. But at least you have a figure.
#7 – A financial to-do list
Financial-related things that you want to do but haven’t had the time or energy to sort out yet. For example, I know I should do a will but been dragging my ass in that department.
This is my personal financial to-do list, if you’re curious.
#8 – All the financial products and services that you use
A while back I came across an article about how there is over RM5 billion in unclaimed money. Billions you know! Not loose change you know!
But the fact is some people really do forget where they placed their money. Or just unaware of financial transactions which took place, like insurance payout in a forgotten bank account or something.
So it’s in your best interest to keep track of your accounts, correct or not?
I did this myself. Here are all the financial products and services that I personally use. Everything – from banking accounts to credit cards to insurance products to investments accounts and more.
#9 – List of your investments
If you do #8, might as well do #9 too. It’s not a bad idea to list out:
- Where you keep your investments
- It’s risk profile (low, medium, risky)
- How much money you have there
- How much and regularly you contribute to that account
- What are your plans (do nothing, buy more when price dips, reduce risk exposure etc)
- Their fees and charges
- Who you named as beneficiaries for each investment
#10 – List of people/companies owing you money
Because *some* people only pay when you ‘gently remind’ them. If you forgot, they’ll happily ‘forgot’.
#11 – Next month’s projected income and expenses
It’s always a good idea to plan ahead. That way, if you have higher-than-usual expenses next month, you still have time to pick up an extra gig or sell some preloved items instead of taking a loan or getting into credit card debt.
#12 – Money-making ideas
This could be anything you want it to be, as long as they have some sort of earning potential. It could be random business ideas, or list of clients to pitch to, or contact list of businesspeople you want to grab coffee with, anything.
#13 – Your goals
I follow Ramit Sethi’s goal-planning checklist as a personal reminder. Copy and follow this template:
- I want to make RM____ in __ months’ time
- I will spend ___ hours per week, or __ per day on __ days to work on this goal
- My long-term goal is to _______*
(Mine is (1) To give RM3k per month to my parents, and (2) get financially independent by accumulating RM2 million in interest-generating investments.)
Use those hours to:
- Get clients
- Perform freelance work
- Learn negotiation skills to increase salary or rates
- Learning in-demand, high-paying skills like coding
- Update and improve CV and use it to apply for better-paying jobs
- Operate a new business
- And more
#14 – A wishlist
I also call this my ‘what I want but won’t get’ list lol. The effect may differ, but personally this list helps to reduce mental clutter. It’s like I acknowledge the desire, instead of suppressing it.
An unexpected benefit – an easy list to refer to when someone asks you what present you want for your birthday or some other special occasion.
Currently, my wishlist includes things like:
- Air fryer
- Popcorn maker
- DIY dollhouse
- New handbag
- More plants
- Dyson vacuum cleaner
- Pretty shoes
Ah, I can’t wait to trade my Maybank TreatPoints into AEON or Lazada vouchers so I can get some of these things guilt-free.
#15 – Travel plans
Whenever I travel, I would make a Google Docs sheet or dedicate a couple of pages in my notebook to list out:
- Flight times and dates
- Flight and accommodation booking numbers
- Rough itinerary
- Important phone numbers and addresses
- The current exchange rate
- Running tally of all travel-related expenses
- Packing list
- What I need to buy or borrow
All I’m saying is, I’ve never missed a flight yet, or ran out of money during a trip. (TOUCHWOOD TOUCHWOOD TOUCHWOOD)
The detailed notes is also the secret behind my travel articles 🙂
#16 – Grocery list
Because it’s just too practical a list to not include here. Regularly making and updating a grocery list will:
- Reduce the number of trips to the store. This reduces petrol and impulse purchases too
- In the same boat, reduces the annoying emergency trips to the store because you ran out of something
- Helps you to plan and make meal preps. Cheaper and healthier
- Gives you focus at the grocery store. You know what to get, instead of wandering aimlessly there
Hmm that reminds me I’m almost out of eggs.
#17 – Journaling
Sometimes, when I’m stressed or just need to vent about a career or money-related frustration, I’ll just do some free-flow writing. I just write whatever comes to mind. It usually works. I’ll feel much better afterwards.
This is also called writing therapy. I learned about it in a writing workshop, and you can use pen+paper or notebook (I recommend the latter – more ‘feel’).
Try out writing therapy the next time you are stressed about money. It’s worth a go, plus it’s a free form of therapy, too. Suitable for even the brokest of y’all.
What else to include in a Money Journal?
Any of you are avid note-takers, too? What other things would you suggest to include in a money journal? Which of the above are you most keen to start including in your notebooks?
As always, share your thoughts in the comments section! If you’re comfortable sharing pics from your money journal’s pages, please leave the link in the comments too!