Why do you need a budget?

If you are like most people, you want to be in control of where your money goes. If you don’t have a budget, you run the risk of your money leaving you, and not having a clue of where it went. Does that sound familiar?

A budget empowers you to direct where your money goes, it doesn’t leave you unless you instruct it to. Some people hear the word budget and think “that is what boring people do” or “I don’t have the time to create a budget” or they simply just get annoyed by the thought of spending time to really look at their finances.

But if you are like me, you will be the boss of your money! A budget gives me the freedom to spend up to the limit I choose on an expense category, without an ounce of guilt. Why? Because I know I have the funds available to do so, and do not have to borrow just to cover those expenses.

A budget allows you to save for certain goals. Do you want to save a down payment for a new home or a rental property? Do you want to go on a cruise to the Caribbean or ride on a camel’s back through The Sahara desert? Do you want to have an elaborate or a simple and chic wedding? Then guess what? Your budget will allow you to achieve those goals. Just include them as a category and ensure that you are allocating funds to cover those expenses.

If you have not read my “What is a budget?” blog post, be sure to check it out! In my next post, I will outline the basics on HOW to create a budget. Remember, your budget will be unique to you, so I will share some simple tips that will get you started.

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