First step. Write down all monthly income and expenses. At the same time, write down in detail all your expenses.
Next step. Determine the amount of money you want to save. Next, write down the amount of money you want to save per month. Remember, it’s not the amount of money you can save, but the amount that you would like to save monthly in order to reach your future goal. For example, if you want to buy a car 2 years later, you will have to calculate how much you need to save monthly counting from today onwards.
Next step. Divide your expenses into 4 categories and determine their upper limits.
1. Cost of living (include rent, food and utilities) 2. Social costs (tuition, transportation, insurance, ceremonial occasions) 3. Entertainment (such as clothes, travel and eating out) 4. Amount of money you want to save
Finally step. Transfer the determined amount every month to accounts each month when you get paid, and just remember to limit your living expenses to the determined amounts. Of course it would be ideal to live off of the same amount of money every month.