Where does all my hard earned money go?

Where does all my hard earned money go?

Jordan Goodman (Personal Finance Author) gives expert video advice on: Why is life so expensive?; Why are things so expensive?; How much is the cost of living expected to go up in the coming years? and more...

If you actually look at your budget, a lot of your hard-earned money goes to automatic things the same every month. You have either rent or mortgage payment, you have a certain amount of energy costs, a certain amount of food costs. There are certain things you have to pay for every month, and a lot of people don't have much leftover after they've paid for their basic necessities each month. The solution for this is to set up automatic savings programs, so in addition to all these automatic costs you have every month, one of the automatic costs should be a savings program, so that your money is growing for yourself, typically in a stock or bond mutual fund, as opposed to a savings account where it's earning 1% or less. So the solution to spending more than you're taking in is to have some of your spending going to something that's building a rainy day fund for the future.