Looking to strengthen your financial health in 2025? Money-saving expert Andrea Woroch joins Wealth to share effective budgeting strategies to help balance your wants with fiscal responsibility to build a secure financial future.
Woroch emphasizes that enjoying discretionary spending is perfectly acceptable. However, it should be part of a thoughtful financial plan that allows you to "spend without derailing your savings goals or your debt pay-off goals."
She advocates for the 50-30-20 rule: allocate 50% of your income to essential living expenses, 30% to discretionary spending, and 20% to savings. Woroch recommends using budgeting apps that categorize expenses and provide insights into spending habits to maintain accountability and track spending patterns.
"Using that budget or spending plan will help you be really mindful about where each dollar is going," she explains.
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This post was written by Angel Smith