If you are not using a budget, ask yourself why. Does the simple word “budget” trigger feelings that are unpleasant? Fear, anxiety, deprivation, and complex could be just a few. Or is it hard leaving your comfort zone? How comfortable is not having control over your own money? Let’s take a closer look at some of the common excuses for not following a budget.
- Budgets are for the low-income earners.
This couldn’t be farther from the truth. If you are looking to build wealth and become financially secure, a budget is crucial. The wealthiest of Americans know exactly how much they spent on clothing, dining out, and groceries over any given time frame. They take the time to create a budget and stick to it. The amount of money you earn has nothing to do with the importance of using a budget.
- Being on a budget means I can’t have any fun.
Here is something you will like to hear, fun can be a line item on any given budget. You just have to plan for it. Splurging on dinner for your friend is ok as long as you planned for it in your budget. If you didn’t plan for it, then it will be easier to not give into the urge.
- Budgets are difficult and I am not a numbers person.
In today’s world with banking apps and other online tools, budgets couldn’t be simpler. Leave it to the system to do the math for you. You will need to know how much money you have coming in and what your expenses are. This is the time to unveil where your hard-earned cash goes each month. If technology is not your thing, put the old-school method of pencil and paper to work.
- I don’t have time to put together a budget.
If having a budget was means to living the life of your dreams, would you make time for it? Budgeting will and must become a priority if you want to improve your finances.
- I can keep track of my budget in my head.
Not even the greatest mathematicians can keep a budget in their head. Seeing the numbers in front of you creates awareness and accountability. The mind can be very persuasive when it wants what it wants. Jump back to the budget before giving in to your inner voice to determine if it is money well spent and part of the plan.
A budget allows you to cut out unnecessary spending that doesn’t add value or bring you joy. Here is the time to do some true soul searching. Do you love traveling with the family or does having a bigger home mean more to you? Setting goals centered around the things that matter most will put your spending habits into perspective. Before you swipe the debit card, ask yourself if that latte or handbag is going to help you achieve the life you want to live.