How about a bank account just for fun? Please! it is not about hoarding your money.

YOLO! We all have installed in our DNA that life is too short and that we only live once. Fair enough. I totally agreed with the fact that talking about personal finances cannot be about hoarding your money. That’s not healthy at all! We are responsible for our futures selves indeed, but we are also responsible for our present selves; and we are in charge of tuning how to take care of both. In other words, we need to find that special balance where we are not depriving ourselves now nor in the future.

I have found that a healthy way to do so is by having a dedicated bank account with debit card for this specific purpose. As a couple we used to charge our credit card when we would go out and tell ourselves that we would pay it off at the end of the weekend…I could count with my fingers’ right hand the number of times we actually did that. And since we were not tracking our expenses or looking at the statement as often, we would overspend and carry a balance to the following period on and on and on and on and on…you get the picture. Guys, I am not proud to admit it, but we were paying interest on brunches. Not cool.

What I feel it happens is that when we use a credit card, we think it will never be rejected. If we overspend for some reason, we quickly calculate we have future income to cover it. In other words, we dig ourselves in a deeper hole.

When we decided to improve our finances and have them in control, we decided to shine the light to our powerful tool, our budget, and set a number for our “fun expenses”. In this category, we include restaurants, movies, the casual hot dog in the middle of the week, etc. Note: This is not big-ticket fun like traveling.

Just like we decided to save and invest a percentage of our monthly income, we also determined a percentage exclusively for fun! Now, this money goes to a checking account and we only use its debit card for that purpose.

This new and simple habit have worked wonders for us. Now we know there is a cap and we both know if there is no money there, one, we already had fun and two, it is time to stay home till we receive our next income.

There is certain magic when you know there are some limits. And I am no talking about limits only in money but in all aspects. Take for example you have a date with your partner and in order to do that you hire a babysitter for 3 hours, that’s your limit, you have 3 hours to make the most out of that date. Do you guys want to discuss the endless grocery-list you have, the bad news on TV, the unfolded laundry waiting at home? Or you want to see each other in the eyes, hold hands, relax and enjoy a sweet dinner while talking about the nice things about you two? Of course you want to make the most about those 3 hours and really enjoy. You want to have the most intentional 3 hours for just the two of you!

That’s how money also works. You know you have certain amount; you want to give it purpose and spend it well and on what really makes you happy.

Would you mind sharing what you classify as fun expenses?

You got this!