FOUNDATIONS STEP 2
Save Your First $10,000
You can't manage what you don't measure.
— Warren Buffett
Here's the simple tracking system I've used for 20+ years.
This Page Takes: 25 minutes
Why This Matters
$10,000 gives you breathing room for emergencies, confidence to invest, and proof that you can save consistently.
Why $10,000 Changes Everything
$10,000 isn't a magic number — but it's enough to give you breathing room. It covers most emergencies without going into debt. It gives you the confidence to invest without fear. And it proves to yourself that you can save consistently.
This isn't about cutting out coffee or living miserably. It's about knowing where your money goes and making intentional decisions.
Emergency Buffer
Handle car repairs, medical bills, or job loss without panic
Investment Capital
Start building wealth through crypto, stocks, or property
Mental Freedom
Sleep better knowing you're not one disaster away from debt
Adrian's Tracking System
I've used this simple two-part system for over 20 years. Track both monthly — they work together to build wealth.
Net Worth Tracking
The Key Insight
Cash Flow Tracking
The Game Changer
Get the Cash Flow & Wealth Building Tracker
Download the exact Excel template Adrian has used monthly for 20+ years. Pre-built formulas for net worth tracking, cash flow analysis, and monthly progress charts.
✓ Free forever
✓ No email required
How to Use the Template
Follow these steps to track your net worth and cash flow. Takes 30 minutes to set up, then 15 minutes monthly to maintain.
Fill Out Your Current Financial Snapshot
Open the template and enter your current financial position. Start with the easy numbers — monthly rent, salary, account balances.
For tricky estimates (like food budget): Think weekly, not monthly. How much do you spend on groceries per week? Multiply by 52 weeks, then divide by 12 months. Much easier than guessing monthly.
Expand/collapse sections: Click the [+] or [-] buttons on the left sidebar to show or hide detailed categories. This keeps the spreadsheet clean while you work.
International Users
Assets section expanded showing categories
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Cash flow and income sources breakdown
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Set Up Your Tracking System
Your estimates are just a starting point. Now you need to measure reality against your budget.
The Multiple Bank Account Method (Adrian's system):
- Create separate accounts for major spending categories (groceries, fuel, entertainment)
- Transfer your weekly/monthly budget into each account at the start of the period
- Only spend from that specific account for its category
- Watch your balance — if it's running low, you know immediately
The Cash Envelope Method (alternative):
- Label physical envelopes or jars for each spending category
- Put your budgeted cash amount in each at the start of the month
- When it's gone, it's gone — forces discipline
Track Monthly & Refine Your Budget
At month-end, record all actual income and expenses in the template. Compare against your estimates.
You'll discover:
- Where you underestimated (adjust budget up or cut spending)
- Where you overestimated (reallocate that extra to savings/investing)
- Surprise expenses that need their own budget line
- Your actual spending patterns vs. what you thought they were
Review the Growth % row: The template automatically calculates your month-over-month net worth growth. Aim for consistent positive growth — even 2-3% monthly compounds dramatically over time.
Net worth summary showing monthly growth percentage
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Recurring payments breakdown by category
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Build Your Emergency Fund (3-Month Buffer)
Your first savings goal: 3 months of total expenses. This is your rainy-day fund for when life happens.
Calculate your target: Add up all your monthly recurring payments and living expenses. Multiply by 3. That's your emergency fund goal.
Where to keep it:
- High-yield savings account (easy access, earns interest)
- Physical gold/silver (inflation hedge, slightly less liquid)
- NOT in stocks or crypto (too volatile for emergency funds)
Once you have this buffer, you'll sleep better. You're not one car repair or job loss away from debt.
Beyond the Basics
Make It a Monthly Habit
Set a recurring calendar reminder: First Sunday of every month, 15 minutes.
Your monthly review routine:
- Update all asset values (check bank accounts, crypto wallets, property estimates)
- Update all liability balances (credit cards, mortgages, loans)
- Record actual income and expenses for the previous month
- Review your growth percentage — celebrate wins, investigate drops
- Adjust next month's budget based on what you learned
This 15-minute habit has generated more wealth for me than any investment strategy.You can't improve what you don't measure.
Full dashboard overview with all sections
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Foundations - Budget: Complete
- The Monthly Net Worth Tracker gives you complete financial visibility in just 15 minutes per month.
- Track net worth (not just income/expenses) to see your true wealth-building progress over time.
- Celebrate the small wins — every increase in net worth is progress toward financial freedom.
Homework
What surprised you most about tracking your net worth? Are there any areas where you're leaking money without realizing it?
Download the Monthly Net Worth Tracker template and complete your first entry. Set a recurring monthly reminder (1st of the month) to update it. Track for 3 months and watch the trend.
What's Next?
20 minutes
Video Walkthrough (Optional)
Watch Adrian demonstrate the template setup and his monthly tracking routine.
Video Coming Soon
5-minute guided tutorial showing the complete workflow