In order to really get a handle on your finances and understand what’s going on, you need to know where all of your money goes. Most people know how much money they make and where it comes from because it usually only comes from a couple of sources at the most. Knowing where your money goes is more difficult since there are so many places for it to go.

So take some time to go over your bank and credit card statements and find out what you’re spending all your money on. It can be an eye opening exercise and allow you identify problem spending areas. You can’t fix something if you don’t know it’s broken.

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