Profit First at Home

Profit First isn’t just for your business, it is also for your home. 

While you don’t exactly make a profit at home, you do need a way to manage the money that comes in and out of the door. 

After seeing the rewards of using this methodology in my company, I sat down with my husband and we made a plan.

Here was our process:

1. We clarified our family budget

2. We opened additional checking accounts

3. We allocate the money between the accounts twice a month

4. We created a debt snowball

5. We only spend what is in each account

The bank accounts for home are different than those at work.

We have 4 family bank accounts

1. Operating Costs - what we use to pay our bills

2. Flex Accounts - used for groceries, eating out, gas, gifts,

3. Her Blow Money - my profit account to spend on stuff I want (shoes)

4. His Blow Money - husband’s profit account to spend on what he wants

Accounts 3 & 4 prevent fights between us! The Flex Account has been great to limit our eating out and makes me plan our meals and grocery runs.

The biggest benefit is that we have been able to pay off debt a year faster then we had planned because all the money wasn’t in one account.

Don’t think that Profit First has to stay in your business, it can be just as beneficial at home!

Want to chat? Let’s talk: