I am no accountant. I am not a money expert. I am a woman who has lived 38 years of life and understand that if I do not manage money properly, I can end up in some bad situations. I have been asked by some people do I know how to budget. My answer is always yes because I do from a general life perspective. However, I will admit there are a lot of budgeting methods out there and that is why one method of budgeting does not fit all.
My budget method changed when I got married. Hold on, let me tell the real truth: I did not know how to budget until I got out college. I knew the concept of budgeting but to say I had a budget while in college would be a lie. I was single for about a year out of college and I began to budget then. My single life budget method changed once I got married. I had to take into account how my spending habits effects more than just myself. The way I budget for our household works because we are living peacefully and our debts are maintained to the point where they are being paid off.
Do I go by some overall percentage rule? No. Do I budget down to the last dollar where I get to $0? No. Some people need these types of methods to help them reach significant life goals. However, some people desire simple ideas when it comes to money management. I recommend doing a lot of research to see what works best for you. Read simple books; even old books. I took the time to read books like The Richest Man in Babylon and even the The Total Money Makeover. I also done Biblical studies on money management. What I recognize is the concept of implementing a budget is not difficult if you desire to overcome financial hardships. I know many people will argue they do not make enough to live the life they desire or possibly they do not make enough because of how much living cost. I understand those aspects because I have been in those situations. I have had to go through payday loans and maxed out credit cards because of unexpected situations. However, I learned some key concepts about budgeting that I now ensure I implement. Those key concepts are:
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Example budget for a household with two adults.
Example of a budget that is based on percentage.
Question: Do you want to have a budget plan? If so, what will help you stick with having a budget plan? Leave a comment below.