Savings Questions

What’s a Spending Diary and Why Is It Good?

• It’s a way to record how and where you spend money.

• It lets you see where you might be able to cut back on nonessential spending to free up money for things you really need or want in the future.

• Carry a copy with you so that every time you spend, you record it.

• At the end of each week or month, look back over your diary and see where you are spending your money.

• Total how much you are spending on each expense, for example, on lunches.

• Use this figure along with expenditure recorded on your bank statement or online banking in income and expense check to complete the diary.

• After you have done your budget, remember to do a spending diary a couple of times each year so that you can check how you are doing.