Why you should measure your personal cash flow now!

Many people worry about, measure and track cash flow in their business. However as much as your business may generate great income and profits you will never build wealth and have a true understanding of where your money goes.

Have you ever asked yourself. I make all this money but I have no idea where it goes?

With today’s technology it has enabled us to access many services that were outside our reach in the past, with the rise of subscription services and direct debits it is extremely easy for your wage even though it may be growing to seem like it is actually shrinking leaving you scratching your head.

What can we do about our personal cash flow?

Now this isn’t the flash how to become a millionaire over night story but most people who are wealthy without earning higher than average incomes follow very basic budgeting and cash flow tracking. If you don’t account for every $ coming into your bank account and every $ coming out you have already lost. There are plenty of apps and tools out there these days to make this super easy. You will be surprised at what you will learn and accomplish once you simply do a cash flow of your own personal expenses over the period of 1-2 months.

Once you have this information you can measure and see what happens with your money, where it goes and perhaps blind spots where you are spending money that you don’t use or need. This will also assist you with budgeting your finances for the next few months so you can plan for up coming expenses, or future purchases. Ultimately if you are serious about building wealth you will be setting aside money to invest in appreciating assets.

If you want to learn more or have us assist you in preparing a personal cash flow and budget email us at mdb@mdbco.com.au or call us on 03 9349 1488

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