NEW YORK (MONEY Magazine) -
How many times have you heard that the best way to budget is to laboriously record every single expense in a notebook for an entire month?
Solution: Make all your purchases on one card
But c'mon, most of us simply can't stick with taking notes every time we pay a toll or stop at a newsstand for a pack of gum.
"I try to do it once a year," says author and credit expert Gerri Detweiler, "but truthfully I find it boring."
Try this shortcut instead: For a month, pay for everything with a single card whenever possible. Use either your credit card (as long as you know you'll pay off your balance at the end of the month) or debit card. Use cash only for very small purchases (say, under $5).
At month's end, your credit-card bill or bank statement will give you a fairly accurate picture of what you spend on food, entertainment, clothing and so on.
To create the Rolls-Royce of household budgets, you can instead use a personal-finance program like Microsoft Money or Quicken. But be honest: This requires a considerable ongoing time commitment. Do it only if you've discovered your inner obsessive.
Investment: 15 minutes to add up your purchases.
The payoff: Once you see where you overspend, you can cut back and save.
Problem 4: Scattered tax documents.
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