Recurring:
Expenses that happen on a regular basis that you are committed to pay
Reserve:
Expenses that you know will happen but you're not sure exactly when or how much they will be.
Discretionary:
Everything else
Steps:
Take your income10% for charity
10% for investing
Fund recurring items
Take 10% of what is left for reserve
The rest goes to discretionary income
Track your expenses and subtract them from your saving categories
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