As I kind of alluded yesterday, I wanted to kind of define where I went wrong with money this year.  I wasn’t really keeping track of how I spent what I had, so even though I didn’t particularly overspend (I mean, no more than my usual technology impulse buys) I wasn’t aware of the status of my finances at any given time nor was I really planning in any long-term sense.  My lack of planning is bad enough that I had an essentially empty bank account at the start of December (possibly because I bought stuff – like a new couch and plane tickets – at an inopportune time, but definitely because I willfully didn’t care about my money situation).

So, what to do?  Do I need to change this mentality at all?  As I have stated numerous times in the past, I hate thinking about money, but I think it’s worthwhile to come up with a general plan for a year (or at least monthly) so that indeed I can think about even less.  Plus, I will feel a lot better about my ability to take on larger projects and/or longer timeline plans if I have a solid underpinning in my head of where my money is at.

In my rough analysis, I think I’ll set a budget for “essentials” (food, bills, gas, etc.), for “electives” (travel, entertainment, etc.) and then try to track everything else in a simple way to be able to plan better.

11. I resolve to track my spending for at least month to create a simple budget.