Create a Money Card to Understand Your Financial Plan
If you have multiple debt accounts, investments, and (hopefully) multiple sources of income , you could probably use the map to navigate your finances. So why not do one like this? It can help you understand your finances better.
As the personal finance site Wallet Hacks suggests, creating a map of your financial accounts can help you get a complete picture of where your money is going and how you need to manage it. Rather than being a vague set of accounts that you sometimes forget to log into, your card should show you where all your money is in relation to your other accounts:
You can draw your map however you want, I think it’s best to use something intuitive, but mine was relatively simple:
- Start by listing all of your accounts – bank accounts, brokerage accounts, credit cards, Paypal, Dwolla, etc.
- Then add all your bills and services – cable TV / internet, utilities, Netflix.
- Now draw link arrows between them. The arrow side meant that I had to log into this account in order to receive money from another. I would use an acronym for the link type – A for ACH, BP for bill payment, DD for direct deposit.
- Remember to update this when you change your accounts
You can see what a money card looks like on the Wallet Hacks website below. The general idea here is to know where your money is going so as not to lose sight of it. You can get creative if you like, if it helps you. Wallet Hacks used simple lines to represent relationships between accounts. You can expand on this idea by placing your investment accounts on an “island” where they are difficult to reach, while your accounts and checking accounts are grouped in the same area. If it helps you figure out how to manage your finances, then go for it!
Drawing up a financial card | Hacking a wallet through Rockstar Finance