How to stay on track with your financial plan

An unrealistic financial plan might look good on paper, but it’s unlikely to last in the real world. A simple approach you could try is the 50-30-20 rule. With this approach 50% of your budget goes to you ‘Must Haves’, 30% to ‘Wants’ and 20% to ‘Savings and Debt’. Read more about it in our simple guide to doing a realistic budget that works. 

Don’t be afraid to make adjustments along the way if you need to. By reviewing your budget regularly and keeping your spending buckets up to date, you will have real control of your finances and can keep up with a sustainable plan. 

Expenses can vary from one month to the next, so it’s a good idea to build in some flexibility to allow for this. In months or weeks when you have a surplus in your budget, make sure to save it for other times when your expenses are higher than normal. 

Some months are bound to have more expenses than others, or you might spend more than you should. It’s bound to happen sometimes! Just make sure you aren’t regularly relying on the flexibility of your budget to create unhealthy spending habits. 

Just because you have a financial plan in place doesn’t mean you can’t have a little fun as well! Try to include a few dollars in your budget, a small amount you can use for anything you like. Treating yourself occasionally can make it easier to stick to your budget in the long run. 

Additionally, reaching financial goals will make you feel empowered to keep pushing forward so make sure to celebrate any milestones along the way. There are many free or low-cost ways to celebrate and keep you motivated. You can take advantage of perks like existing loyalty rewards, points or coupons to help make what you’ve been eyeing off fit into your budget. Or find free entertainment alternatives instead of more costly ones.