The first step in changing your spending is to understand where your money is going. To do this, you need to spend a little time to measure your spending.
You perhaps feel that you already have a fairly good handle on this. After all, every time you spend money, you have to pull out that credit card or count some cash. In fact, we’re notoriously bad at understanding our spending because of all sorts of psychological shortcomings common to us all.
Taking a methodical, calculated look at your spending can reveal surprising things. It’s an exercise worth doing regularly.