Smart Money Training Program

Topic 5.1: Building a Spending & Savings Plan

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Use a monthly spending and saving plan to guide how you use your money.

Spending & Savings Plans:

Spending and saving plans bring together two essential money topics:

• Income: money you receive

• Expenses: how you use your income

Increasing Income:

Can help you cover expenses, save, or share.

• Once: Sell something

• Occasionally: A few garage sales or Facebook marketplace listings

• Ongoing: Part-time second job or seasonal work.

• Long-term: Workforce development, Education, etc.
  
  

Decreasing Expenses:

Think about needs, wants, and obligations.

• Conserve: What can you get cheaper, or use less of?

• Adjust: What can you renegotiate?

• Do without: What can you eliminate?

Making Adjustments to your Spending Plan

A spending and saving plan doesn’t always stay the same every month. It needs to change to reflect changes in your income and expenses. As your financial situation changes, you should update your Spending Plan accordingly.

Adjusting it doesn't mean you have a bad plan – it means it is working! 

Remember the Key Takeaways:

• Use a monthly spending and saving plan to guide how you use your money.

• A spending and saving plan doesn’t stay the same every month. It needs to change to reflect changes in your income and expenses.