Most people earn millions over a lifetime, yet many struggle financially and live paycheck to paycheck. Have you found the month lasts longer than the money, or wondered where it all went? You’re not alone – and there’s now a simple solution.
Financial happiness vs financial misery
As Dickens’ Mr Micawber put it: ‘Annual income twenty pounds, annual expenditure nineteen nineteen and six, result happiness. Annual income twenty pounds, annual expenditure twenty pounds ought and six, result misery.’ It rings true regardless of income level.
Tracking your spending
Keeping track of spending is difficult and laborious for many – the discipline to collect receipts and maintain a ledger over time exceeds most people’s capability. The good news: software can track and classify your spending with minimal effort.
An eye opener
Imagine the clarity of knowing exactly what percentage of your income goes to mortgage or rent, vehicles, groceries, schooling, eating out, entertainment, phones, internet and medical expenses. For most people this is a real eye opener – and knowledge equals power when it comes to personal finances.
How Xero Cashbook works
Xero Cashbook is the non-tax version of Xero used by businesses. It automatically imports electronic transactions via bank feeds, giving an instant snapshot of your complete financial position across all your accounts, and assigns categories so you can see whether money funds essentials or discretionary items. Xero protects your data with the same 128-bit SSL encryption as online banking.
Working together
You can invite trusted people – your spouse, accountant or financial adviser – to view your Xero reports for free, helping you plan ahead and stay on track. Being web-based, you can access it from home, work or your phone. If you’d like help setting up Xero Cashbook, get in touch and we’ll guide you through it.