August 30, 2022

Cashflow Tracking

How to Track Your Cashflow and Avoid Overspending

by | August 30, 2022 | 0 comments

A specific financial strategy does not apply to everyone else. My strategy for handling finances may work for me but no guarantee will work for you.
Now, you might be wondering why I’m writing this article on how you can track your cash flow. Why I’m sharing this kind of blog. Right? I hope you’re still reading to know why. Simple, I would like you to discover your effective strategy from the tip I’m going to share. This financial strategy will surely help you avoid overspending and consistently track your expenses. You just have to know it and act through it.
So, allow me to share this simplified cashflow tracking which I apply. Having a simple record of your cash or income movement helps you never miss out on a single expense or payable you need to settle. Let’s go!

List down all the monthly payments or obligations you need to fund.

What are your monthly obligations? Rent. Utilities. Internet. Groceries. Credit Cards. Bank Savings. Insurance. Tithes. Everything you need to pay from your income.

Keeping a record of the above-mentioned payments will help you to be cautious in your spending. As you track this record, possible overspending will be seen immediately and action to minimize or eliminate can be taken accordingly. Somehow, a tracking list warns you not to buy unnecessary things and allows you to save or invest more than spend.

Determine what’s your needs, wants, savings/investments, and the church/charity you’re committed to.

Knowing the specifics of your expenses enables you to be sensitive to your spending. You tend to think smart if a certain cost is reasonable and acceptable to your budget.

To track your cash flow, you need to determine your needs and distinguish them from your wants, which can be part of your budget too. Why wants are included in the budget? Simply because you deserve to be rewarded too. Working individuals tend to be burned out due to depriving themselves of getting their wants. You just need to track those kinds of expenses so that they will not exceed a particular budget. Savings or investments for future use should be part of the budget, you must consider of setting aside a fund for it. Lastly, you can allot a portion of your income to church or charity contributions where you’re committed to doing so. This is an act of kindness and sharing the blessings you have.

Allocate the budget amount and countercheck actual expenses.

Maintaining a consistent budget plan for your monthly obligations will help you be on track with all your expenses. By doing so, you’ll probably avoid overspending. This is because you can see and monitor it through the budget you plot.

Your budget allows you to compare with your actual spending and able to plan out for the next month. This helps you spot spending that is not part of the budget and you can take necessary action to avoid such mistakes in handling finances. As much as possible consider sticking within your budget to avoid overspending and have smooth cash flow tracking. Eventually, as you consistently do the budget allocation and counterchecking with your actual spending, no more overspending in the future. And that you can save more and invest more to grow your money.

Re-visit a simple financial strategy to be on track with the payables and expenses.

A simple financial strategy helps you in simply managing finances. And to be on top of tracking your payables and expenses, revisiting your strategy is a must.

As you establish your strategy of tracking your cash flow, you need to evaluate each component from time to time, especially if your expenses are growing. Having one shouldn’t stop you to go over it and come up with an improved strategy. Making improvements and applying them will help you more on your cash flow tracking to avoid overspending. So, make it a habit of checking your financials now and then, apply improvements, and don’t stop learning from others’ strategies. It’s learning and not copying from others’ financial strategies because as being said what’s working for someone will have no guarantee that will work for another one.

Tracking your cash flow is a helpful way to avoid overspending, especially those unnecessary costs. How you can track your cash flow?

Make a list of all your obligations to settle and try to habitually do so.

Determine your needs, wants, savings, and investments so that you’ll never miss out on a single expense or payable.

Allocate a budget for each you have determined so that your income is distributed wisely.

Countercheck actual expenses and your financial strategy to know if there’s a need to eliminate or minimize until such time you can have the financial freedom you envision.

Feel free to read this related article.

Found helpful? Don’t hesitate to share and let your friends learn too.

<a href="" target="_self">Sherie</a>



Sherie is a finance and accounting person by profession. She's been working in this field for over a decade now. And she loves doing it.Aside from loving accounting work, she is passionate about writing. She writes articles, blogs, and ghostwrites ebooks. She has a passion for writing about personal finance to spread financial literacy awareness and to live that so-called financial freedom along with her shared personal experiences.Connect her on FB -


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