My financial check-ins and budgeting system keep me grounded and objective no matter what is happening in the moment.

The uncertainty I felt when I opened up about being in a funk and practicing honesty seems so small compared to the collective uncertainty we face with the COVID-19 pandemic. Although I planned to publish this post earlier, talking about money didn’t seem right as communities began locking down and issuing shelter-in-place orders. But, I was wrong.

Be of service—however you can.

Now is the time for communities to support each other with their available resources: their time, their money, their knowledge. Women like HeyBerna and her panel of #HellaHelpful financial educators offered free webinars for individuals and small businesses experiencing financial insecurity and anxiety as the Bay Area ended its first week of sheltering-in-place. Organizations like Filipina on the Rise also made Filipino Food Businesses maps for the Bay and SoCal that are open for take-out or delivery, so Californians can get their Filipino food fix and support their local businesses. Crowd funding projects like #FilipinosFeedTheFrontlines were created to feed and heal health care works and communities impacted by COVID-19.

It is inspiring and empowering to witness people coming together to share their resources and uplift their communities. As I question, “How can I be of service now?” I realize that I have my own resources to share for those who need it.

Start with awareness.

Since financial security is one area that deeply affects my mental state, I thought I’d share my strategies on moving from a place of avoidance to productivity during times of uncertainty. Knowing where I am financially and assessing opportunities for improvement give me a sense of control and perspective instead of spiraling in my imagination. If you’re spiraling or stuck, awareness is always a good place to start.

While I mention in my basic money management series that you don’t need a budget to start managing your finances, I love to budget. I have Excel spreadsheets for every year since 2012 listing my expenses categorized and color-coded. I’ve experimented with countless budget templates and strategies since then. I’ve also tried apps like Mint, but I prefer to keep track of my expenses and income manually.

A budget is not a finished product; it is a work in progress.

The budget spreadsheet I use now, which I’ll include down below along with instructions on how to copy and use, is a product of trial and error, frustration, and curiosity. Creating a budget that works is such a rewarding experience, but starting your financial journey with a budget can be discouraging because it’s easy to feel guilty about your spending or, you might go overboard on restricting yourself to save pennies. However, if you’re ready for the next level and have an open mind, then a budget is a tool I highly recommend adding to your financial arsenal.

A glimpse of my 2020 Budget Template (linked below):

Whether you are tackling debt or working to achieve another type of financial goal, like an emergency fund or retirement, a good budget lays out your income, expenses, and money habits. Budgeting is a learn-as-you-go skill, so don’t expect to create one and expect it to be perfect. In order to attain a working budget, you will need to observe, experiment, and iterate over time. The longer you keep track of your spending and earnings, the easier it is to identify patterns, project future expenses, and make lifestyle changes to achieve your goals and support your ideal life.

I recommend experimenting with a few budget systems or apps to find what works for you and what doesn’t. You can be flexible with the period of time you experiment with each method, but I suggest sticking to one template or app for at least three months. A quarter should give you enough data to calculate weekly and monthly average expenses while including recurring purchases that you may not buy every month, like bulk products.

Manual Budget Systems to Try
anjeliqueca.com 2020 Budget Template
Dave Ramsey Envelope System (cash method)*
HeyBerna Budgeting Template (twice a month frequency)
MissBeHelpful Monthly Budget Template (percentage based)

*Note: While I benefited from Ramsey’s Envelope System at the very beginning of my student loan debt journey when I had little guidance on how to manage my money and tackle debt, I disagree with his guilt/shame approach (among other things).

Financial check-ins should be treated like recurring appointments, like monthly coffee dates with a friend.

After choosing a budget method to work with it’s time to plan out a financial check-in schedule. I typically check my finances twice a month which can include seeing how much is in each bank account, checking my investments, and updating my budget.

How often you update your budget can be defined in terms of:

• How many expenses you have

• and, how much time you want to spend budgeting in one sitting (more frequent updates = less time, less frequent updates = more time).

When I sit down for a financial check-in I also project out expenses in the near future for things that don’t occur regularly. Some examples of irregular expenses include weddings, trips, or one-time purchases, like a new computer. One tip to pay for irregular expenses is treating the purchase like it has a payment plan. By dividing up the total cost by the amount of time left before making the purchase, you can set money aside at a regular interval—like a weekly or monthly basis. Creating your own personal payment plans for large expenses ensures you’re not going into debt, accruing interest on borrowed credit, because you have the funds upfront.

Aside from checking my bank accounts and expenses, I also use my financial check-in to evaluate what could be improved in my budget. Improvements can include reassessing my budgeting system, i.e. do I have enough categories, are there redundancies that I’m tracking, is there anything I can automate, etc. Improvements can also include opportunities to change my spending and earning behavior. Can I take on a side hustle or part-time job? Is my income diversified enough? Can I cancel any subscriptions I’m not using? 

One final thought on budgeting: Be honest with yourself when questions arise during your financial check-ins; let go of whatever judgement, guilt, or shame that might come up too. Eventually, you might even surprise yourself with how well you’re doing financially because you took the time and effort to work on your money habits.

If you’re ready to start budgeting, feel free to try out my 2020 Budget Template. I’m happy to answer questions and help you on your budgeting journey. Simply comment below, email me, or message me on Instagram. In the meantime, if you want more finance tips, check out my basic money management series here.

Stay home, stay safe, and be well friends.

This post goes well with:

Interest Rates + Savings Accounts
Talking Money with My Boyfriend