On Making Money
You should know how you spend the money, everyday, on what.... The simple logic, you will know exactly where the money goes, then it also motivates your to earn more, which is very much needed as you would contemplate on you paycheck always isnt it?
I have been doing it since I returned from USA, and I was doing it here too! That is where I learnt it. During 1994, after I reached USA, in Planville CT, I found a free flyer in the Kroger store called "Penny Pincher", which was listing all the local business and tips and ideas to save money. Very rarely some coupons. I did get a blazer fixed free with a coupon!
Second advantage of noting your daily expenses, minute management, would be that you will know exactly how the inflation stands. This is also going to serve you with data about the FMCG, Auto, Retail sector, in a larger way. The more money you spend on such categories, will clearly tell about how much you should invest in a particular stock. As Warren Buffet says, dont invest in what you dont understand.
But even with my limited understanding of IT the dotcom boom bit me, and I did loose more than a lakh in the 2000-01 days in investing alone, other than blowing away 25 lakhs in my own money, running my won company (in Stealth Mode now - planning to revive soon).
There are three headings you should note down your incomes from - salary, retirals and bonus. Enough.
You can see the growth chart year over year. Also the month over month expense, will give a clear idea non what you are saving every month. Irrespective of the family size, your rate of increase should be at 10%. Thumb Rule.
This will give a cushion effect to take risks in investments or rainy days, for more money and to do things that you would love to do.
Also make sure, you enjoy once a while, other than the Beluga Caviar or your own private jet.