Everyone loves a good reset. It makes you step back and take a fresh look at your life, goals and dreams. It is like a fun chat with life where you check in with every area and see if everything is still working the way you want it to.
Well, a money reset works the same way, and if you’ve been avoiding having that fun chat with your bank account every month, you are absolutely going to love my 5 ideas below.
My goal when creating this reset is as follows:
- It needs to be quick – ain’t nobody got hours to calculate how much they’ve spent on coffee and snacks every month;
- It needs to give clarity – you will have a clear picture of your financial situation by the time the reset is done;
- It needs to push you to do something new – that’s the fun part about this reset, and if you skip everything else, the fifth and final step should be the one you try, no matter what.
So, the plan is to give you a simple, quick and action-based money reset routine that is easy to remember and actually follow, and will show you real results fast. Let’s get into it.
Disclosure: This post contains affiliate links, which means that if you sign up or make a purchase I might get a small commission at no extra cost to you. Thank you for supporting my business. See full disclosure.
5 Steps to Dealing With Your Money Better, Every Month – Money Reset
Step 1: 5-Second Check-In
Do this: Open your bank app and check how much you have in each of your accounts.
Why?: Spend a few seconds making sure everything is as it should be. If you are surprised by the numbers, you should probably do it more often. I talk more about this check-in money habit right here, but let me quickly tell you – it is one of the most important money habits you can ever develop.
Optional: Write everything down on a piece of paper or in a simple notebook. Keeping a money planner, even if it’s the cheapest pocket notebook is always a good idea, because you take some of the pressure off your memory (you know you will forget it all by the next hour).
Step 2: What Went Where?
Do this: Dig deeper and see what got paid, what you spent and forgot about, and whether everything you paid for was actually worth it.
Why?: Review all your subscriptions and recurring payments. Do you use all of the services you paid for? Do those services really justify the money you’ parted with’re spending on them? If you paid for something you don’t use, consider cancelling (or pausing) the subscirpion.
For example, after I had my son I had no time to read books. I had a Kindle subscription that I kept paying for every month, hoping I will find the time to read again. I read one book in six months. Therefore, one day I just cancelled it and I know that when I get to a season of life when I can dedicate more time to reading for pleasure, I will sign up again.
For now, I stick to physical books only as they can stay on my night stand for months without costing me anything.
Step 3: What’s Coming Up?
Do this: Check your next three to six months of upcoming expenses – birthdays, holidays, events and vacations, and other big expenses.
Why?: You want to know if something big is coming that you might have forgotten about – a wedding of a close relative, an annual insurance payment, a major car expense, the holiday season that usually makes you scrape the coins out of your piggy bank and so on. It will take you less than a minute to check your calendar and see what’s coming up, so do it.
If a big financial expense is coming your way, you could start adding money to your sinking funds now.
Step 4: Move Those Leftovers/Check Savings
Do this: If payday is near and whatever you have in your checking bank account can be considered “leftover” money, move it around. Put some toward debt, add some to your emergency fund, or simply check your savings and sinking funds.
Why?: Giving your money a job before payday helps you start fresh and also, helps you to set aside just a few more dollars. Those little amounts always add up in the end. I’ve used this system to pay off several loans way before their final due dates.
Step 5: What’s on Your Experiment List for The Month?
This is the one fun thing on the money reset plan you will absolutely look forward to.
Do this: Think of one idea (or more, if you decide to make a list), an experiment that you could try this month that would change things for you financially.
Why?: Trying something new, money-wise, can introduce you to different ways to spend money more intentionally, save more, or improve your quality of life. Short monthly experiments are much better than deciding to change your life overnight and then completely abandoning the idea because committing to something “forever” sounds really long .
For example, you could decide not to buy any clothes this month, skip cofee shops run or stop ordering takeouts. You could also decide to switch to different grocery store so you could experiment with prices and quality. You could tweak your meal planning, decide to add or cut certain ingredients (for example, cut out sugar or simply eat less of it than usual).
Whatever challenge you decide to do, choose something that would allow you to experience spending or saving your money differently.
For more inspiration, here is a list of monthly challenges or changes you can experiment with:
- No-buy month (or do it biweekly);
- No takeouts;
- No-buy month for clothes or cosmetics;
- Make at home something you always buy (bread, pizza, sweets but also Halloween costumes, Christmas decorations);
- A month of no streaming subscriptions – cancel Prime Video, Netflix or Disney+ and spend time reading, crafting and walking in nature;
- Use public transportation instead of driving;
- Shop for groceries from a store that offers better quality, even if it bumps your food budget a bit, if food is tastier it might be worth it for you;
- A month of eating whatever’s in the pantry;
- A month of packed lunches from home – eat in your car, a break room or another free place instead of buying lunches at restaurants or stores;
- A free-fun-activities month – make a list of free fun stuff you could do by yourself or with friends and family;
- Secondhand first – everything you need this month, check the thrift store or FB Marketplace first.
Short Overview of The Steps
This is a short overview of all five steps with just the reminders of what each step includes. It will be easy for you to copy and paste or write it down in your planner.
Step 1: 5-Second Check-In – Open your bank app and check how much you have in each of your accounts.
Step 2: What Went Where? – Dig deeper and see what got paid, what you spent and forgot about, and whether everything you paid for was worth it.
Step 3: What’s Coming Up? – Check your next three to six months of upcoming expenses.
Step 4: Move Leftovers/Check Savings – Move any leftover money toward debt, savings or sinking funds.
Step 5: Choose a Monthly Experiment – Try a new money-related experiment that could potentially improve your finances or quality of life.
Final Thoughts
Your monthly money reset routine is done. You got through all of the five steps and now you know how much money you have, what’s being paid, what you need to save for, and what fun challenge you are going to try over the next few weeks.
This reset routine will keep you stay financially aware and in control of your money and that is something not everyone makes time for.
If you love resets, here is a list of other reset routines on this blog:
- Sunday Reset Routine for Moms
- 7 To-Do Lists to Make Every Month
- Full Life Reset When You Really Need It
Blogger, dreamer, procrastinator, and lover of everything soul-touching. My mission is to make you laugh, provoke your thoughts, light up your day and inspire you to fall in love with life and yourself.
