Step 3: Where Is It All Going? (The Monthly Tabulation)

Don't worry. Relax. This program is not about budgeting. Budgets, like diets, don't work. They don't work because they deal with the symptoms and not the cause. The cause of fat is not really the calories in the food, its the desires in our mind.

• Every month create a table of all income and all expenses within categories generated by your own unique spending pattern.
• Balance your monthly income and outgo totals.
• Convert 'dollars' spent in each category to 'hours of life energy,' using your real hourly wage as computed in step 2.

How:

• Simple arithmetic. A computer home accounting program may be useful. (A computer is not essential as both authors achieved Financial Independence without using computers.)

Why:

• This monthly tabulation will be an accurate portrait of how you are actually living and provide a foundation for the rest of the program.

LINK TO SOME EXAMPLE SPREADSHEETS

Step 3 -- FAQ