“Budgeting is not for me; it is for the rich.”
This is a common comment that comes up when many are encouraged to get into the habit of budgeting. It is the excuse why many do not budget and feel that they do not have or earn enough; “let those who have enough do the budgeting.”
Have you ever asked for a financial favor from someone, and they said, “sorry, that was not in my budget”? Or “maybe next month”? Or they refuse to purchase something you really thought they needed because it was out of their budget? It is easy to feel that budgeting is slavery if its benefits have not been fully exposed to you.
Budgeting is the process of creating a plan to spend your money; it could be a salary, an allowance, or even a financial gift. This spending plan is called a budget. Levels of expenditures differ from person to person, but the bottom line is that everyone has spent or will spend at some point in their lives. Let’s look at some of the benefits of budgeting and see how it can make our financial lives healthier.
1. Budgeting gives you control over your money
Knowing that you have a good budget to fall back on each month will give you confidence and peace of mind that you are in control of your money. It helps you tell your money where to go and not the other way round.
2. Budgeting helps you focus on your financial goals
Planning for the future and working with an objective allows you to plan well without worrying you’ll miss the mark. Sticking to your budget and putting money aside will bring you a step closer to achieving your financial goals.
3. Budgeting makes it easier to stay aware of your savings and debts
A good budget will keep you aware of when your debts will be paid off and identify when you may have additional money to redirect into savings or other worthy purposes.
There are numerous benefits of budgeting, but as Rossette puts it in the quote for today, “Budgeting is for everyone who wants to ensure money is enough.” Budgeting will make a good way for you as far as finances are concerned.