The author reflects on a renewed commitment to track monthly subscriptions using a budgeting app after noticing their attention waned. Consulting certified financial planner Melissa Murphy Pavone, the article details a systematic approach to auditing subscriptions. Key steps include identifying monthly income and expenses, categorizing them into essential and discretionary, and compiling a comprehensive list of subscriptions to evaluate their value. This exercise aims to align spending with personal values and financial goals, highlighting the importance of conscious financial decisions in subscription management.
Categorize expenses into essentials (e.g., rent, utilities, groceries) and discretionary (like subscriptions, dining out, or entertainment) to understand what you can allocate toward subscriptions.
This step helps provide a sense of what's possible and ensures you're not just making cuts for the sake of it but aligning your spending with your values and goals.
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