Calculating an Alternate Route
DJ’s son was ready to move out on his own. But he wasn’t sure he could afford it.
DJ and Sergei sat down to create a money map. They found that, with Sergei’s current income and expenses, adding the expense of a new apartment would mean he would have a negative cash flow—he would be spending more on his expenses than he was receiving inincome.
Sergei figured he could either reduce his spending by making his own food and eating out with friends less often, or try to find a roommate to help cover the extra expenses. He decided he could make his meals at home and hang out with his friends after he had eaten. But after a month of the new routine, he realized he really missed eating out with his friends. He resolved to find a roommate who could help contribute to rent and household expenses.
By decreasing his monthly expenses, Sergei has a positive cashflow, and he is becoming fast friends with his new roommate.
