Budgeting is an allocation of your income and expenditure.
It helps you to analyses how you are spending your hard earned cash and helps you to manage your money.
A budget helps you to plan and control your finances easily.
will keep you organized and will help you to achieve your financial goals.
If you have a budget you can manage to save money and allocate your money for short term saving to long term savings goals.
Budgeting money makes it easy to manage any debt you have as you can easily see where your money is going.
It ensures that you are not spending money you don’t have in other words, with a budget you can see if you have bad spending habits.
In our household, we have been using a monthly budget, which has helped us plan our spending against our income.
We try to put everything in in out budget from bills to clothing.
Having a budget has helped us in decreasing our stress levels because there are no unexpected surprises, we budget for everything including the unexpected emergencies by having an emergency fund
Why You need a budget?
1. It helps you not to spend money that you don’t have
2. It helps makes you see your bad spending habits.
3. It helps you to pay your debt if you have any
4. It prepares you for any emergency or unanticipated expenses
5. It can help to you get out of debt.
6. It can help you to pay your debt.
7. It can help your health as you don’t have to stress about money.
8. It can help you save money to meet your financial goals
9. It can make you control your money rather than your money controlling you.
Over to you…
Do you have a monthly budget in your household? How has it helped you?
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