We have heard of the concept - save money and pay yourself first! But does this really works?
Some women DO pay themselves first! 
The most common method that I know --is not in the form of investment BUT through tangible things that will make the fashion police proud! - Yep - -new shoes or bags monthly!
NO DUH! If they have not realized yet that they will not be forever the skinny 30
hot babe, then years down the road...I am sure we'll see them all hanging out together - mapping the floors at some grocery store at 60!
I share my passion for saving money with you through this blog as I am so scared of being that old and gray lady! The steps are not hard - -just commit to small baby steps! Start saving with twenty - fifty - hundred dollars monthly... and slowly build your wealth one dollar at a time!Save Money!
The beauty of compounding ...10-20 years from now - it's going to be worth something! Today, this is not about tips on how I try to minimize cost but how I redefine the definition of fund management that worked to my advantage! Here's how to save money:
STEP 1: START OUT WITH A PLAN: Before you can save money, you need to know how much can you afford to save! Using one month as a point of reference:
a. Start with the basics of accounting all bills, debts and expenses you need to settle on a monthly basis:
- List all MAJOR expenses that are constant (utilities, mortgage, phone,gas etc)
- List all MINOR expenses by sub category - (a)Food - grocery, lunch etc (b) Entertainment - movies, popcorn, dining out etc (c) Shopping - clothes, shoes, accessories
b. Place value on each category and start crossing out items you can let go for a month. If you can, try to delay major purchases for the next 12 months
c. Do a simple forecast of how much money you want to save by end of 3 months, 6 months, 12 months, 3 years and 5 years
d. Place a MONTHLY savings goal on how much you need to set aside to achieve forecast
e. Set up a cash on hand budget that you have access for Week 1
f. Plan bank visit for Week1 (once a week to get the cash on hand budget)
STEP 2: SEPARATE ACCOUNTS: If you are directing your salary to an account with a debit card you have access to ... Hmmm....-then you will have a problem! We need to have at least 2-3 accounts to ensure that funds are monitored and balanced on a monthly basis (direct deposit, checking and savings). Consider my strategy:
a. Send salary to a direct deposit account like ING DIRECT (highest interest so far)
- For the MAJOR expense category: Set up an automatic transfer for a fix amount
- For the MINOR expense category: Set up XX% of salary to a savings account ( with NO debit card access . Realistically, you have no time to go everyday to the bank...so you will be forced to manage what is available
b. Keep XX % of money at the direct deposit account for the MONTHLY saving goal
STEP 3: EVALUATE WEEKLY PROGRESS: This is very critical as this will make or break your goal.
- On a daily basis, list down all expenses in your diary so you can track if you are below or above your budget.
- At the end of the week, count all money in your wallet including coins. If you have left over cash - -place them in an envelope and set aside.
- Go to the bank and get the cash on hand budget for week 2
- Follow same process for Week 3 and Week 4
STEP 4: ASSESS MONTHLY GOALS: For the next three months, make sure that you commit yourself to this saving money project. Plan a support system to do this like -- writing a diary/ blog, reading articles on ways to save money and researching on investment opportunities. Reward yourself by placing all the leftover money in the envelope back to the bank! Think of it like money you loaned to a friend and they will never pay you back! This is now your virtual asset! Stay out of the mall and stick to the plan!
STEP 5: PLAN FOR BIGGER THINGS: By the end of six months - -start planning like the Trump! Increase your saving allocation with the intention that you will purchase a bigger investment next year! If you are fortunate to be
working for a company that provides percentage matching to 401k
contribution and employee discounts on stocks purchase.. start reading about it! 
I know some people who will delay contributing as they cannot
let go of small extravagances(i.e. shopping, eating out etc). But
teach your left brain to tell your right brain that this is free money! So walk towards your HR department and ask for the details so you can escalate your savings strategy to a different level.
I will stop here as I will let you ponder and make those baby steps happen! Again...save money...save money...save money!
