Skip to main content

What did I learn from analysing my expenditure after a year

In the following blog post, I share the results of two analysis. The first one is an analysis of my spendings by categories after a year, the second is analysis of what I want to achieve by category. The analysis contribute to my main aim which is to achieve financial independence. I am currently trying to pay a debt - 12K for a student loan.

To do the first analysis, I downloaded all the statements from my current account in an excel format. I assigned a category to each entry.

What are the results?
I  allocated 18% of my resources to my loan and the same amount to travel to France and have a couple of trip in the UK.
I spent more money on conspicuous consumption than food.
I did not have many outings that involved financial expenditure.

What am I missing?
I haven't got a good idea of what all the cash I have taken out was used for. A part of it must be to commute to work, then it is a mix of food shopping, outings, shopping and more outings.

For the second analyysis, I made a rough estimate all the things you want to achieve in the future, I created a budget to understand how much you have to put on a side every month to reach every goals you have set yourself using the categories set in the first analysis.

 What did I learn from the analysis.
My main learning points are:
  • It seems that my current dreams amount to 12K - the same amount I need to reimburse (£12 000). (voice..argh). It is probably an amount of money that I should always have aside when I want to be completely free to reach any goal quickly. A FREEDOM POT
  • The other learning is that I really enjoy travelling and it is something I want to do more. It informs me in some ways on what I should do maybe professionally, who knows.
  • I can also see in comparison to my past that I want to focus more of my attention on personal development. It is something which is positive and I can predict that it is something that is likely to expand with time.
  • I will have to reschedule some plans in order to actually repay my loan quickly. Key tasks: what are my priorities.

Using my results, it allowed me to plan my budget for the upcoming months using a spreadsheet






Having this, I was able to actually analyse the information and develop some categories that you can actually see in the graph below.


 Actions plan
So through my analysis, there are a number of key elements that I should look further on:
- what do I spend my cash on
- creating a freedom pot could be a new priority
- can i align my thirst for travelling with my professional aspirations
- what am i ready to reschedule to actually pay my loan very quickly.



Labels:

Comments

Post a Comment

Popular posts from this blog

Criticism of Utilitarianism - link

https://www.utilitarian.org/criticisms.html http://www.webpages.uidaho.edu/jcanders/ethics/outline_of_some_classic_criticis.htm Problem : Consider the following two cases: 1. Elderly Aunt Molly is ill. Nephew Tom visits her and helps her because he loves her. Nephew Bob visits her and helps her because he hopes to be rewarded in her will. Nephew Dave visits her and helps her not because he desires to help but because he believes it is his duty. (Modified Version of case by Bowie and Beauchamp,  Ethical Theory in Business  (Englewood Cliffs: Prentice-Hall, 1979) 16-17. 2. A two-year-old is drowning. Ruth flings caution aside because she desires to save the child and jumps in, but she cannot swim. Thus, she fails to save the child. Sue can swim, but is afraid that the child will pull her under. She does not save the child. The consequences were the same in each case, but the motives of the agents were different. According to utilitarianism, each person's action was of...
Post a Comment
Read more

How might we inspire young people to cultivate their Creative Confidence

Tom and David Kelly asked on Open Ideo how might we inspire young people to cultivate their creative confidence. This was my answer As young children, we are all creative. We draw sing, build, and dream. Life is Easy. All we need is food (or fuel) and a space to express ourself and more significantly time to be with ourself. Yet somewhere along the way, we get lost and make life a little harder for ourself because we think with our head and eyes rather than with our heart .  Maybe we forgot the simple act of  breathing or  The joy of being  playing with our friends and  the sweet sound of laughing,  the meaning of freedom,  closing our eyes and sleeping in the middle of the afternoon with no feeling of guilt I do believe creative confidence develop itself through renunciation of the high perception we have of ourselves in the eyes of others. Renunciation is an expression of creativity. Creativity and innovation is an act of renun...
Post a Comment
Read more

Always Expect the Unexpected - Purge Update

Message of the week Always Expect the Unexpected What happens this week with the Purge? I sold a lip butter set, a suit and a skirt. I received a bid on a T-shirt, a trouser and a dress. I received a warm message from Jill, owner of MeganMakesGood about the shop. She found my blog through my FB. It warmed my heart. First, because it is nice to receive some feedback from you do, Two, I did not know anyone would read about what I do on FB. I packed my good and made on more cyclop card for it and went to the shop. I spoke with my friend designer Zosia about developing the visual design of the shop I received a message about purchasing one of my dress and send it to Mauritius - Oulala I smiled, can you imagine me selling a £1 dress and send it to Mauritius... Total sale this week: £19 Number of Visits on Blog: (I Don't Know) The total page view of the blog is 12,747 What am I going to Improve on? How can I organise my packaging better? Create a space in the ...
Post a Comment
Read more