100% Vital - this one thing
This week, we conclude the 50/70/100 principle journey. I previously shared that I reviewed spending data and acknowledged that I was overspending on groceries, such that it prevented me from achieving other savings. I determined a goal and settled on a strategy to accomplish that mark.
Next in the principle is the 100% vital. Now that I know something is wrong (50% uncomfortable), 100% vital says, “What can I start doing now? Take an easy and early win.” What small decision or action must I do right now otherwise no change will begin. For my 3-month grocery reduction challenge, my one thing was reviewing the grocery spending for 2024. Pulling numbers from a shorter time frame (2 or 3 months) would only give me part of the story. I needed to see trends and habits. Was I overspending as a matter of course, or were there specific months that had atypical expenses? After reviewing all the numbers, it was clear that I was a general over-spender. I was especially rocked because I thought my spending plan was set up to save me money. Here’s what I looked at. I calculated what I spent at the grocery store and my weekly pre-made meal purchases. The pre-made meal purchases averaged $80 a week, grocery shopping averaged $110 - a total of $190 per week or $760 - $775 per month. That calculation doesn’t include separate and semi-regular purchases for household items such as cleaning supplies and personal products. Recall from the 50% uncomfortable blog post, the average monthly spend for a one person household was between approximately $240 - $430. The reality is that I was spending based on convenience, and that reality was costing me money. Incredibly thankful I asked myself the question and did the easy research. That pure review of the data was a huge win for me!
With those facts before my eyes, what were my options? I could either continue to spend as usual, or I could set a goal to reduce my grocery bill. If you have been following me the last few weeks, you know which one I chose. 😊
Quick review…
50% uncomfortable – spending 2x to 3x of the average one-person household on groceries
70% incremental – issued a 90-day challenge - reduce grocery bill by 50%. Reward savings by transferring unused funds into an investment account. Saving now and storing up for later.
100% vital – research average monthly spend for groceries, specifically a one-person household. Then review the data.
Your turn to follow the 50/70/100 principle. What is the 50% uncomfortable, the 70% incremental and 100% vital that you can think about and do? If you want to talk about it, drop us a note at letstalk@studiomfinancial.net. Until we meet…keep working on the change.
