Creator of TYB Rachel Gbogbo-Morthy [@adjoaaaa] shares the importance of her new budgeting tool

Rachel Gbogbo-Morthy, 27 is a Christian, Ghanaian-British born, currently working within Treasury at a Global Investment Bank. Beyond her 9-5 job, she is the co-founder of two businesses, a catering company that she runs alongside my family and a yearly planner business that runs alongside two friends. Read more in our exclusive interview with Rachel on her new finance tool ‘The Yearly Budgeting Tool’ that she hopes to help her community more intentional with their finances:

What made you want to create the tool?

“I honestly started creating the tool for personal use, with the purpose of becoming more intentional with my finances and having greater oversight as to where my money was going. I also wanted to be intentional in reaching certain financial goals and plan my finances better for things in advance, such as holidays or buying a property etc.

With bigger goals, I thought it was really important to be very diligent with money or else everything else that is immediate becomes a priority (including buying a new outfit for each occasion) as opposed to being focused on future goals. Also, I found myself pulling numbers from the air in regards to my financial goals but without considering whether they really possible given everything else I had going on like business or holidays etc. I wanted to be intentional with my money and realistic in what I could do.”

How has having such a tool impacted your finances?

“Greatly! One of the main functionalities of the tool is the ability to set long term and financial goals which I really needed. At the beginning of the year, I plan what I would like to achieve/ do financial and set a deadline that is achievable, whether this be saving for enjoyments like holidays or investments like property or stocks/shares market. It allows me to see what it will require monthly to get to my goal in a specific time.

Planning is really important, and I know sometimes people shy away from it just in case they don’t achieve it but plans can also change and things happen, life happens. If plans change financially in the year, I amend the goals to fit what is now achievable. With the tool, I have a clear idea of where my money is going!”

In a time like this I can imagine money is a topic many of us are talking about within our inner circles. How important would you say it is for people to be on top of their finances, especially during a time like this?

“Very important – people are in such different financial situations (regardless of what the TL says about salaries!). There is a lot of uncertainty all round which is why I think planning is even more important! Planning for a rainy day for example and having emergency money available is vital.

The times we are living in is hard, and I know sometimes we may buy things just to make us happy because mentally its hard, I get it! However, we should also be mindful of rainy days or the future therefore its good to assign money for your monthly budget (and that may include things to make you happy!) and assigning some also for the future.”

In what ways can people benefit from using the tool even if they feel like they do not have the scope to currently save can this help them track their current spending habits?

“The tool give visualisation to where your money is going. There is also space for commentary or to jot down deals you may have seen for a particular expense. For example, I was paying my car insurance monthly, and it wasn’t huge sums of money, however, when I put down my monthly expenses, I looked at everything and thought “where can I cut costs?”

My insurance was one of them – by paying it yearly because it works out cheaper. Sometimes you need to see your outgoings to 1. See how much it is in total 2. Potentially realise that you are spending more than you need to & 3. Find ways to cut costs . The overview tab lets you know your month to month expenditure and whether that is increasing or decreasing. I can be frugal so even cutting cost by £5 is better than nothing.

How important do you think it is to be intentional with your finances in your 20s?

“I believe your 20’s is where you build foundations for your future, so the habits you cultivate now will likely to be the ones you will continue. For a lot of people, their 20’s is where they will start their first proper job. With however much you earn, it is important to know how to spend and save wisely.

Sometimes we think life would be easier with a bigger salary not realising that the lack of being able to manage “the little” is not due to the money we earn but the choices we make. As we grow older, pay checks are likely to grow and responsibilities are likely to increase, where you may not be the only one that is dependent on your salary. I think it’a important to cultivate good habits now and also potentially get to thinking how your money can work for you. It’s never too late to start!”

Purchase the tool for £3.99 on www.tybtool.co.uk available in 20 currencies