If only money grew on trees. Yeah, that's a big IF. Since nature didn't grace us with a never ending amount of trees full of dollar bills, most of us have to be sure and secure with our money. Here are some simple ways to begin a budget or help keep track of one you may already have.
What are you buying? Pay attention to where you are spending your money. By noting where your money is going, you can more easily decide what can be deemed as necessities and what can be deemed as wants/extras.
How much should you be spending? Think about how much money you have coming in each month and then compare it to what you are spending each month. Does it add up? If you are cutting it really, really close or you are overspending, look carefully at the areas where you can afford to cut back. Setting a monthly goal, or target spending amount, can help you keep yourself on schedule.
Save, save, save! While a budget is extremely important, putting a few dollars each month into a savings account will help increase your financial stability. For example, try putting $10 a month away (out of easy access) in a savings account. This may not seem like much, but over time, that $10 a month will add up. Adjust the amount added into your savings account according to your income. Remember, one of the most important things about budgeting is knowing what YOU can do each month to be successful.
Follow through! There is sometimes nothing tougher than actually following through with keeping a budget. It is important to remind yourself of the difference between what you absolutely have to have to live and what you think you have to have to live. Come up with a creative and fun way to chart your budgeting successes. If keeping up with your budget is difficult for you, ask a friend for help. You may find that a friend is also in need of some extra budget coaching help, so it will be a benefit to both of you. Much like a workout buddy or a study buddy, budgeting can be made simpler and more fun by doing it with a friend.
Splurge as a reward for hard work. Yes, that's correct, splurge. Treat yourself every now and then; maybe it will be every few months or monthly, depending on your money situation and your dedication to your budget. A splurge every so often can serve as a fantastic reminder that you are keeping up with your budget and savings. Splurging can also improve your mood and boost your self-confidence.
For more easy budgeting and savings tips, check out Money101.
Sarai Garnett - Sarai Garnett believes that every day brings promise for great experiences. Holding a B.A. in Interpersonal and Organizational ...
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