Many view the budget as an ugly nagging beast they will never be able to master. Because it only reminds them about the frustration of being in the red, they prefer to ignore it instead of trying to tame it.
In the same fashion, many other persons not completely averse to budgets still find it utterly dull. In that sense, a lot of people resign themselves to accept the sad truth that money matters are a reality of our modern life and nobody can really get around it.
For us, keeping a budget is quite the opposite. It’s much more fun and to some extent, it rhymes with excitement! We get those pleasant vibes perhaps because we mostly associate budgeting to having dreams, realizing projects and the freedom of making choices.
From our standpoint, a budget is an easy-to-use tool to understand where your hard earned money goes. It helps you regain or keep control over it. It can also point out interesting opportunities to improve.
An effective budget can be set-up on a single piece of paper, using the most sophisticated software or with many possibilities in-between.
Next time, we’ll talk about How Budgeting Can Be So Simple and Easy.
So today, let us expose our unique point of view on this simple yet extraordinary tool. Let’s hope you’ll see how powerful it can also become for you!
Dream and Realize Projects
Having dreams is a great thing. Fulfilling them is even better!
A functional budget is the perfect instrument to now if you have the means or what’s necessary to make a project real. Knowing where you have to get instantly propels you several stages closer to the realization of any venture.
Even if it has to start there for everyone, to get motivation, your budget must be more than about basic necessities. Every time you hit or even better beat a projection, you concretely get one step closer to your biggest dreams. Hence, this singular way to envision your budget takes all the dreariness out of it.
Knowing you are building something strong and solid, will get you proud. Living and accomplishing tasks with genuine purpose can also be a wonderful feeling. In the end, you’ll see that anticipating the achievement of something big can oftentimes be very exhilarating!
By this point, we hope you can grasp many of the benefits of employing budgeting to give your ideas life and realize countless projects.
The Perfect Tool to Make Choices and Improve
Budgeting is a fantastic powerful way to exercise your freedom, your freedom to choose.
Many see the budget just as a bunch of numbers. We rather view it as an amazing opportunity to make better choices, informed choices. Sometimes, it can be really fun to play with numbers, especially when they are your numbers and you realize you possess the power to choose; to change and improve things.
Like it or not, almost any activity involves monetary considerations. If you decide to ignore them, one day, there will be consequences. We find it much easier to just input them in our budget.
Don’t take your freedom of choice for granted, it is a great privilege some of us have. With minimal effort, a straightforward budget can help you decide and make these vital choices. You can and need to know where your money disappears. Don’t let money or your lack of it choose for you.
For most of us, financial resources are limited. Budgeting can allow you to carefully select the best available options and obtain the most out of your hard-earned buck within these limitations. Budgeting is an accessible way to maximize how you allocate your money. Start by taking care of what you basically mean first and then, carry on to what you truly desire.
On your way to financial freedom, take your first steps and build a solid foundation by exercising your freedom of choice utilizing a well-organized budget.
To help decide how to allocate your funds, your budget is an outstanding tool. For instance, if you elect to spend more on a particular item, you better determine right away what other item we will amputate. If you don’t, sooner or later, Life will decide for you and you may discover that when it comes to financial matters, it can sometimes be quite harsh and ruthless. You have the possibility and power to decide, don’t risk your faith in the precarious hands of others.
In the end, budgeting basically boils down to making your own choices and avoiding dealing with imposed ones.
Budget Your Way Out of Debt
In our consumption driven era, an enormous problem, household debt, troubles several individuals. For many affected by this modern syndrome, things are really getting out of hand. We cannot go around an obvious truth: the main cause of debt problems is that people spend more than they earn. It’s that plain and simple.
Some folks prefer to avoid talking about it and continue to live in a constant state of denial. As we stated above, at some point, they will have to start paying it back or suffer dire consequences.
Fortunately for everyone, an amazing tool exists to help get out or stay out of debt: the budget!
The budget can be a great diagnostic tool. With some effort, it can also help you restore balance in your financial affairs.
To begin with, your budget can permit to diagnose the extent of the problem in conjunction with your balance sheet. That examination of your financial situation should allow you to identify causes of your ailment.
The budgeting process will then enable you to uncover opportunities to improve. It will give you back control and let you decide which desirable changes to implement. By comparing projections to reality, an effective budget will enable you to learn and adjust along the way. Ultimately, you should manage to apply a definitive treatment or solution.
With some tenacity, whether you decide to take the fastest route by Paying the Highest Interest Rate Debt First or the easiest one by Getting Rid of the Lowest Balance First, you should succeed to get out of debt step by step.
Therefore, if you or someone you know feels strangled by debt, just remember that the budget is an excellent place to start looking for answers and assistance.
After getting consumer debt under control, the next logical move would be to get into saving. So, let’s talk about it now…
Learn to Enjoy Saving
Some people consider budgeting and saving as a very selfish thing. For few of them, having money can even be a sinful thing. But having your affairs in order and taking good care of yourself first will give you the means to help others afterwards. It is a required condition to have money to be able to give a portion of it away.
For others, spending and buying in some luxury gives them an escape from their trying and sometimes, miserable life, unfortunately, this habit will only bring them more difficulty taming the consumer debt beast. Furthermore, the joy of getting an object you don’t actually need doesn’t last.
Buying these things won’t make you a better person. And contrary to what many believe, it won’t make you a more successful person either. Remember that even if you use a credit card, eventually you will have to pay for these items with your hard earned money. So, to some extent, buying more also means working more. Wouldn’t it be better to work less and to live more?
What portion of your money have you spent for nothing? How much time have you lost in your life working to pay for useless things?
On the other hand, saving and resisting the urge to buy something useless can also bring you great satisfaction. It can also help you regain or take control over your finances. In that sense, the empowerment linked to saving should carry on for much longer.
In the end, saving can bring you a lot of freedom, both financially and psychologically.
Moreover, keep in mind happiness is probably much more about living experiences, which does not always have to cost a lot of money.
Recently witnessing many examples in my extended family, I was quite surprised how most children respond to accumulating and saving money. Contrary to many adults, by nature, children really seem to like counting money and building up their bank account. A real opportunity exists here to motivate our youth to save and encourage them to take sensible money habits. Introducing your children to investing and its long haul benefits is also probably a great idea. Try it; you may be amazed by their uncanny yet receptive reactions.
That’s all from us for now. Let’s hope our unique angle encourages you to have fun doing some budgeting of your own. And be sure to join us next time!