Do you know your cash burn rate? Here’s why it matters.

Most people know how much they earn, but far fewer know how fast they spend it. That’s why it’s important to understand your personal cash burn rate. A cash burn rate is a comparison of how much money you spend to how much you earn. The higher your burn rate, the harder it is to save money. As a financial educator and former NFCC-certified credit counselor, I've helped thousands of households examine their spending and improve their finances. Here's how I recommend using the concept of a personal cash bu ...