Caroline and Timothy were deep in debt and had no plan. They tried the cash flow management system and the results speak for themselves.

1. N O F E A R F I N A N C E
C A S E S T U D Y # 1
C A R O L I N E & T I M O T H Y
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2. S U P E R S P E N D E R S
P R E S E N T E D B Y N O F E A R F I N A N C E
NAME
full time, $60,000 per annumWORK
Caroline, 30 years old NAME
Full time, $110,000 per yearWORK
Timothy, 35 year old

3. BACKGROUND
Both in their early 30’s, Caroline and Timothy were recently engaged and planning on getting
married in a couple of years. They were renting a house together and had both been working
since finishing uni. Tim had an investment property that paid it's own way - cash flow neutral.
They both were earning good income
They had a little equity from Tim's investment property
They spent money freely, traveled, ate out on a regular
basis and generally were enjoying life!
They were getting married and had
zero savings
They had absolutely no idea where
their money went each month
They still seemed to be living from pay
check to pay check

4. CHALLENGES
Money seemed to go through their hands like water and just as they seemed to be getting
on top on things another big bill would arrive. They seemed to argue over money when
things got a little tight.
Caroline desperately wanted a new car and Timothy was keen on getting a big deposit
down so they could buy a house soon after their wedding.
Both Caroline and Timothy still had credit card debt. Timothy was halfway through paying
off his car.
The wedding was also an issue as Timothy wanted to buy a wedding ring and go to
Samoa on a honeymoon but was getting stressed as he couldn’t see a way to make it
happen.

5. How we helped
Introduced them to our cash flow management system. Entering the data was the most
difficult as they had no way of tracking what they had been spending. So, over the course
of a couple of weeks they slowly began to “think” about money.
The entering of the data made them conscious of the constant spending and more
importantly more accountable not only to themselves but to one another.
They found that using a cash flow system wasn’t like a budget, it was less restrictive and
more adaptive to their lifestyles.
They quickly saw that they needed to change things up and started setting better savings
goals for themselves, because the cash flow is almost set and forget, those savings
goals were met quickly.
The best result was the change in mindset from the free spending no saving to the
mindset that they could still have heaps of fun and enjoy their lives, they just needed to
manage their money to assist them to do that.

6. Results
The start was hard and took a couple of months “ to get into it “
Caroline purchased her new car outright ( 2 year old car)
They had their honeymoon (Fiji 7 nights) and he got his ring (for her)
They have paid off their credit cards
They have an emergency fund (small but growing)
They are working together for their new house deposit now.
Most importantly – they are now aware of their spending habits ��
Fast forward 2 years. We checked in with Caroline and Timothy after their wedding to see
how things were going.
Points to note
Names have been changed.