So, you want to be a millionaire? Conventional wisdom dictates that to save money, you need to squirrel away as much as possible while drastically reducing your spending, period. While there is some merit to that strategy, the smarter way to grow your wealth is to cultivate careful spending habits that will allow you to maximize your savings without cramping your style.
Here are four smart spending habits to help you save your first million dollars.
1. Categorize your expenses and monitor your spending.
One easy way to keep your finger on the pulse of your spending habits is to break down your expenses into categories. Garrett Gunderson, CEO of WealthFactory.com suggests a framework consisting of four expense categories: destructive, productive, protective, and lifestyle.
Destructive expenses refer to, “Overdraft fees, using credit to consume, spending on vices, or products or services you don’t use or that don’t add value to…
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