In order to determine where we wanted to focus our discretionary spending money, we had to look at the history of where we liked to spend and determine if it made sense to keep spending the same way. We also had to have conversations about what we valued and how those things fit into our budget. After some spending analysis and discussion, we settled on these three categories: food, travel, and entertainment.
We knew we wanted to continue traveling and exposing our children to new places, people, and cultures, but also knew we were going to have to figure out a way to financially make it work. Luckily I discovered the amazing world of , and we've used reward points to travel to Colorado, Hawaii, and Washington, DC within the past year.Entertainment was the final category that we agreed held the most importance to us. My husband and I both love live music and attending outdoor concerts, as well as golfing and other activities that get us outside and active. Although having a child meant we had less time to do these types of things, we still wanted to budget in enjoying our time together when we were able to get away.
There were other areas we knew we would cut back on including our lunches and coffees out, but we were up for the challenge. By outlining three areas that were important to us and that we wanted to still include in our budget, it wasn't nearly as painful forgoing spending on other areas. We were able to plan for the spending that was most aligned with our values, and it made sticking to our budget easier.
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