Does this sound familiar? You make enough money to cover your bills, yet at the end of the month, your bank account is lower than where it began. You don’t feel like you spent much, but the evidence says otherwise.

Many people think they’re savers when they’re actually spenders—and that’s a dangerous position. If you don’t pay close attention to your finances, you could be hemorrhaging money without even realizing it.

The Reality Check: Are You a Spender or Saver?

There are three types of people:

• Spenders who know they spend
• Savers who know they save
• Unaware Spenders who think they’re savers but actually spend

If you struggle with budgeting or tracking finances, you might be in the third category—and it’s costing you real money.

The Solution: Conduct a Spending Inventory

Just like weighing yourself before starting a diet, a spending inventory gives you the honest numbers you need to make real changes.

Step-by-Step Spending Inventory Guide

1. Gather your statements: Print out the last 3 months of credit card and bank statements
2. Create categories: Set up a worksheet divided into spending categories (groceries, gas, fast food, entertainment, etc.)
3. Categorize every transaction: Go through every statement and assign each transaction to a category
4. Calculate totals: Add up the totals for each category
5. Find your averages: Divide each total by three to get your average monthly spending in each area

What Your Spending Inventory Reveals

After completing your inventory, you might discover:

• Reality check: You’re more financially strained than you realized (don’t give up—this is fixable!)
• Spending shocks: Certain categories are much higher than expected (this awareness is powerful)
• Positive news: You’re in decent shape and can accelerate debt payoff with small adjustments

Turning Insight Into Action

Use your 3-month averages to create your first realistic budget. Since these numbers reflect your actual spending patterns, your budget will be practical and achievable.

Then start making strategic cuts and reductions where needed. Remember: the goal is a budget you can actually stick to.

Don’t Lose Hope—Take Control

Seeing your spending in black and white can be emotional, but this is your starting point, not your final destination. Once you have clarity and create a budget, you’ll start making financial progress immediately.

“A wealthy person is simply someone who has learned how to make money when they’re not working.” – Robert Kiyosaki

Ready to stop the financial bleeding? Download our free spending inventory worksheet and take the first step toward financial clarity today!