How To Budget Money And Stick To It Without Any Hassle?
You have a really big expense coming up. It may be for getting a new car or a bigger home or even to get your children into college. How will you tackle these expenses? If you are whispering like ” I ll borrow”, remember you have some better ways rather than taking the debt. I tell you how to budget money without hurting yourself much. So that you can stay away from debt and in turn from the potential stress too.
Have you ever created a budget? Well, if you are nodding yes you must have know how much comes in and how much remains finally .To meet the bigger expense that awaits along the way, you should know how to budget money. You can start saving your money blindly. Have a habit of making a budget so that you can gain a better understanding on all of your finances. Do not attempt to borrow money whenever the need arise. First try to squeeze your expenses to some extent. Budgeting can change your life in the long run. This habit is indeed a good one for yourself and your money.
I know creating a budget is one of the frustrating task. Sticking to the budget is even harder than that. No matter how well you do a budget plan, budget will remain as a budget until you follow it.
Benefits we are going to enjoy through careful budgeting are countless. Obviously it will improve your financial situation. As we know when we have less financial problems, we will have a happy life with less stress. Recent studies reveals, money has become one of the main reason for largest amount of divorces. So maintaining a careful and proper budget will help you to have a better life around.
Through this article I am going to guide you on how to budget money without losing your sanity.
Continue to read on to know the ways to stick with your budget
No 1 : Focus on Savings
As of now, you are done with the budget and know how much money comes in and how much you suppose to save. Getting some help will help you to stick with your budget further. Given below are some useful tips which will help you to go-ahead with your budget and face a major purchase.
No matter what expense you suppose to do, once you decided on the amount to save money, make it to get deposited directly into your savings account. Ensure you pay this amount every month. This little savings will make a really big difference when the time comes.
No 2 : Use Cash
Have a habit of paying for your expenses right from your pocket as cash. Reduce the credit or debit card usage. When you pay from your hand you will have a little sense of spending money. To manage the situation take out the cash you need for the entire week full at a time and make up your mind like this is all you have as your earning. Cut the unnecessary spending. Paying for your $60 shoe from your week’s last cash will matters than swiping your card
No 3 : Cut Bad Habits
If you have habits of taking tobacco or alcohol, probably you will know how much expensive these bad habits are. Quit smoking & drinking. Just think how much money can be saved or used on your other expenses if you cut down these habits. Once you put a full stop to these habits, you can see a major drop on your bill. Apart from saving money, it will improve your health too. With the less healthcare expenses, you can even make yourself eligible for some lower insurance premiums.
No 4 : Share the Responsibility
Ensure you are not the only one person who are more concerned with the budget. If yourself and your spouse stays on a budget while your children continue to overdo the expenses, then you are fighting a losing battle. Sit with everyone and make them to behave responsible. Check the progress on a weekly basis. By doing so, make them understand how to budget money. When every one of your family shares the burden, you can stick with your budget without any hassle.
No 5 : Pay Down Debt
When you have credit card debts on more than 2 or more cards, it may feel like you are going to pay off on these cards for your entire life. You know how to budget money. So you know how to pay off on all these cards as well. Make a plan and start to pay for a card that has the highest interest rate. At the same time you have to pay the minimum on all the other cards. Do this until you pay off the first credit card debt. Once you done with it start with the second highest interest rate. As an alternative solution you can consider credit card consolidation to lessen your burden.
Hope I have given some valuable tips on how to budget money. If you have some other proven methods, share with us by your comments.