We often assume we know where our money goes each month—until we actually start tracking it. That’s when the real picture comes to light. For Registered Financial Planner Christopher Cervantes, tracking expenses is one of the most powerful yet underrated tools to improve your finances.
“We assumed that we knew how we handled our monthly expenses,” Cervantes told Financial Adviser PH, “but once you start tracking it, you will be amazed at what lesson it could give you at the end of the month.”
According to Cervantes, the first step to mastering your money is to “get to know your numbers.” And that doesn’t just mean knowing your income. “You have to understand how much of it actually disappears each month—where it goes, how often, and why,” he added.
In one of his coaching sessions, Cervantes helped a client who earned more than most of her peers but had little to show for it. After tracking her spending for just three months, she realized she had spent P28,000 on food deliveries and P10,000 on online subscriptions—expenses she had overlooked because they felt small and occasional.
This is the power of short-term tracking: it brings clarity. Cervantes suggests using even simple tools like pen and paper. “List your regular bills—groceries, utilities, rent. Then monitor daily out-of-pocket expenses like snacks, coffee, and online purchases. Do this consistently for a month,” he said.
By focusing on just 30 days, you develop awareness. You’ll spot trends—days you overspend, unnecessary habits, or areas where you can cut back. Most importantly, it gives you the foundation to build better decisions moving forward.
“Tracking your spending will help you realize that sometimes the happiness you are looking for is just hiding behind the peace of mind that financial discipline can give,” Cervantes shared.
If you want long-term change, start with short-term focus. One month of honest tracking can give you a lifetime of clarity.
