The Easiest Way To Manage Your Money | How To Be Good With Your Money

Budgeting sucks but in this video I’m
gonna share with you the story of Tom a young business executive who after a
sudden life tragedy we’re in the easiest way to manage his money and if you’re
new to the channel then hit the subscribe button below for more
life-changing content meet Tom tom is a 31 year old business
executive living in New York City since graduating college almost a decade ago
Tom’s goal has been to climb the corporate ladder at the sales company he
works for from closing big deals to working with other highly intelligent
people Tom loves just about everything about his job
however Ana managed the stress of working in such a high-pressure
environment Tom often finds himself out of the bar
with friends or getting a dopamine boost from buying things online in short while
Tom earns a decent income he definitely relies upon retail therapy to keep a
level-headed while prior years have been stepping stones in his career
progression this year tom is working extra hard to get promoted to the senior
account executive level where his income would exponentially increase a few
months into Tom’s promotion year he found himself working 70 hours or more a
week with his office basically becoming his new living quarters you see unlike
prior years were his annual sales target was rather reasonable in order to get
promoted to the senior account executive level tom had to prove he could close
ten million dollars worth of sales in the year this meant that tom was
constantly on his phone or in meetings with potential buyers and if he wasn’t
doing either of those things then he was probably out with his colleagues trying
to de-stress as Tom’s busy your continued he started to feel rundown
while he’s making great progress towards his annual sales target he began to feel
like his life was more out of balance than ever before besides rarely ever
getting enough sleep to sustain him for the day Tom began to notice that his
frequency of going up to party was only getting worse he figured all these
nights out were probably not the best for his bank account but justified that
it would all be worth it when he got his big promotion
then one day tom was at work when he got a call Tom blurted out his typical
professional phone greeting but before he could finish he realized that it was
his aunt I was on the other end of the call in a somber tone his aunt began to
explain that his it suffered a major heart attack and was
in the hospital Tom’s aunt said that his uncle may not
make it and that he would love to see his only nephew during this trying time
Tom told his an he would call her back Tom nan googled the cost of a return
trip ticket from New York to Dallas leaving tomorrow Tom saw that the
cheapest fare was $1,000 Tom then pulled up his banking up on his phone to see
how much money he had in his savings account then Tom’s face went white five
hundred and sixty three dollars Tom have been working for years and couldn’t even
afford a single plane ticket to see his sick uncle thanks to his lackluster
money management ways a couple hours later tongue called Zampa and broke the
bad news to her however rather than telling her the reason he couldn’t fly
to Dallas to see his uncle was due to not having the money Tom blamed his busy
work schedule and said that he had sales meetings he couldn’t afford to miss
later that night after most of his colleagues had gone home Tom found
himself sitting at his desk cryin over the fact that he had let his financial
situation get that bad and that now we may not see his uncle ever again it was
in that moment that Tom promised himself that he would take his financial life
into his own hands and build up enough savings that any future emergency could
be addressed without a doubt that next Saturday Tong that up extra early to
start researching budgeting techniques he could use to ensure that he was never
left without cash on hand again before getting into the different techniques he
could use he saw an alarming statistic 61 percent of American adults don’t
employ any form of budgeting and the act of budgeting is directly correlated to
financial success in that moment Tom knew that he made up part of that 61
percent but was glad to know he was making an effort to improve his
financial habits the first method Tom came across during
his research was the envelope method this method involves creating budget
categories and allocating your budget towards these categories then you take
out the budget amounts in cash and places cash in your budget envelopes and
once you spent that cash that’s it for the month Tom thought this was the neat
budgeting technique but felt like having a take out cash every month would be a
nuisance so he then moved on to the second budgeting technique which is the
twenty thirty fifty math Tom came to learn that the twenty thirty
fifty method works as follows every month you divide your income in
the following way fifty percent is designated to living
expenses like rent utilities and groceries the next 30 percent goes
towards entertainment costs like going out to eat or seeing a movie
the final twenty percent is meant to go right into your savings account this
technique seems pretty simple however Tom didn’t want to have the hassle of
projecting is spending on his favorite expense entertainment so he decided that
the twenty thirty fifty method wasn’t right for him Tom realized that if he
was going to succeed at budgeting that he needed to find the easiest method
possible so that’s what he looked up what came up in the search results
was 80/20 method the 80/20 method works in the following way 80% of your income
goes towards your living expenses and the other 20% goes towards your savings
every month it’s that simple Tom figure he could definitely divide
his income into these two categories but not spending the money that went into
his savings account would be a challenge the next day at work tom was talking
with his colleague jasmine and he began explaining this new budgeting technique
he was trying out and admitted that he wasn’t the best saver Jasmine laughed
and said her savings sales weren’t the best either which is why about a year
ago she set up automated deductions with her HR department Tom was intrigued and
asked her to explain what this involved jasmine explained that automated
deductions work in the following way every two weeks part of your paycheck is
sent directly into a savings account instead of the full amount going right
into a checking account Jasmine explained that this method is
effective for two main reasons first it allows you to avoid having to
think about saving money which meant that Tom could spend more time making
sales that would help him get his promotion second it reduces the risk
that you spend money save because you don’t have direct access to the cash –
Tom this sounded like the perfect money saving method for the next two months
Tom began employing the 80/20 method in combination with automated deductions
and for the first time in years he began to see his bank account grow – Tom’s
delight his uncle’s condition had improved enough room to return home to
continue his recovery while tom was now starting to see the fruits of his
budgeting labor he still felt an immense amount of guilt for not having been able
to see his uncle during his time of need so Tom decided that he was
going to surprise his uncle by booking a trip to Dallas in three months time over
the next three months money continued to accrue and Tom
savings account to the point where he had enough money to buy his plane ticket
then the day finally came Tom gone on his flight and flew to
Dallas to see his uncle as Tom walked into his uncle’s house
his uncle lit up with joy is his only nephew had come all the way from New
York to visit him after asking how his uncle was Tom announced that he had big
news to share with him and his aunt he had met assails target and was the
newest Senior Account Executive at his firm the three of them rejoiced and Tom
reveled in his gratitude for having come across the 80/20 Method thanks for
watching if you want to go from the life you have to the life you deserve then
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8 comments on “The Easiest Way To Manage Your Money | How To Be Good With Your Money”

  1. Passive Income Tom says:

    The key is to pay yourself FIRST! 👍

  2. BRIGHT MINDS says:

    Talk to your brain. Talk to your heart. Think good thoughts no matter what. Speak the conditions in your life into being.

  3. Betterment Boss says:

    Comment “TOM” if you watched the whole video!

  4. Sabrina Pack says:

    I’m sticking to the Envelope method

  5. Abena Ampomah Nuako says:


  6. Adam Del Duca says:


  7. The Wong Mindset says:

    He should’ve also told his aunt the truth then flew out there. Mannn…you don’t want to be in that situation where you can’t afford to fly out to see a dying loved one.

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