Budgeting requires great discipline but is so rewarding.
Why it is Good to Live on a Budget
We as humans are visual so, a budget is a snapshot of that helps us to focus ad keep track of our spending. This also allows for easy checking over a given period so we do not overspend. In addition, a budget helps us to think about how we allocate our funds and be proactive about managing said funds instead of allowing them to lead us around blindly.
Do you budget? What benefits do you find in doing this?
Some tips on how to Start a Budget
1. Decide if you want to go old school and write it out in a notebook dedicated to this or use one of the many apps available. If you do a YouTube search you will find much information on these.
2. List all your spending from the greatest necessity to the little thing that you treat yourself to. Some key things are rent/mortgage, utilities, loans, recreation, savings, travel and a realistic amount for miscellaneous to catch any unexpected expenses that crop up.
3. Put away small bits of money month by month to fund something you really want to do like a big trip
4. Be true to yourself and assign money for all the things you know you can afford.
Cultivating the Habit of Budgeting
Budgeting is something that takes time, patience and discipline. At first it may seem restrictive and troublesome but it is worth it. Budgeting when done right helps to balance income with spending and reduce a whole lot of anxiety about money.
One major key to getting into the habit of budgeting is to realize that you need to give yourself a little breathing room and keep a miscellaneous category because stuff always comes up. Keep checking your budget regularly and make notes of the unexpected things that arise. Shift some funds from some of the non essentials if needed to balance your budget. Budgeting essentially helps you to use your money wisely and not overspend which leads to incurring debts.
These YouTubers give great tips on budgeting, check them out for more information: