Lori Harder suggests creating a budget category called "bad decisions" to track discretionary spending like coffee, smoking, and drinking. Seeing the total cost of these habits in one place makes it concrete enough to actually change your behavior.
For somebody who's feeling really just overwhelmed by money right now, what's the first thing that you would tell them to do? Especially like if they're struggling to either grow or if like their personal budgeting is not great, is I tell 'em to make a category called bad decisions and put your transactions in there or like those expenses. Smoking, maybe drinking too much, getting a coffee every morning. Like if you actually looked at those numbers and how much you're spending on that, then at least you're educated to know that you're doing it. And unfortunately, a lot of people are not looking at the numbers, so they don't even know how they're in this situation because they just haven't looked. So that's the first place, like what are all of these extras? Yep. The bad decisions, which really makes it quite blatant. Thank you so much. I'm like, oh, got a few of those.
