Budget Planning

Of course I do. As I had posted before, I have several bank accounts to allocate my salary. The categorized system gives me a clear idea of my finances. One bank account handles the utilities and other expenses for the house except food. Another account is for the food items that includes groceries. And with the daily food from the market, our housemaid handles that for me. It would be difficult not to have a budget plan because you may be overspending and you may not know it until your finances collapses.

 

I mentally make a rough outline of my monthly budget. Before, when I really have a goal which requires intense saving, I write down the amount I get to save everyday. I also take note of my projected savings goal and see to it that I reach it before my self-imposed deadline (the moment I make the purchase). These days, however, due to time constraints and constant exhaustion, I just store all my budget plans in my head. Surprisingly, compared to my younger years, I am able to exercise discipline, reduce my unnecessary expenses and arrive at the budget goal I want (but sometimes with a few delays). I try to be as flexible as possible.

 

Indeed I do budget planning. But mostly mentally, since I'm not alloting so much big figures into every expense of mine, is easy to just recall how much I spend in something weekly, because my purchase's activities can't be quantified every day. For example, I don't buy bread or refill my drinking water canister in daily a basis.

 

I usually don't make a budget. The problem with budgeting is that it creates boundaries that makes one tempted to jump over. I prefer to spend as it comes keeping it to a bare minimum proportional to my income. The only budget which I find worth making is the entertainment budget since this item has the ability to disrupt an otherwise good plan. Spending as you go allows one some latitude and forces you to invest your money so that it doesn't run out before your next windfall.

 

In order to save money you need a budget but I don't budget because I don't to. I've been buying the same things for so long that I always know how much everything I'll use in a month or week will cost.

Since I prefer shopping with cash, once I withdraw the money I intend to spend into different labeled envelopes I place the money allocated for different purposes: bills, groceries, etc.

 

My grandfather once told me that, living without a budget is being like a headless chicken. It will go round and round in circles until it drops dead. That was some great piece of advice wrapped in wisdom. At the time, I had just gotten my first job and I couldn't tell what a big portion of my salary was being spent on.

With a few guidelines that I gathered from my grandfather, I started making my budget. Since then, I have now perfected it and it's mainly in three parts. My daily needs, my monthly needs and my future needs. My future needs are further split into two. Short-term and long-term financial goals.

To make the budget more tangible, I don't just harbour it mentally, I put it down in writing. I also understand that a budget can never be cast on stone, therefore I make adjustments as times and situations change.

 

I have been diligent about budgeting my money in the last few months and it is starting to pay off because I am now able to keep some money in savings each month and get my bills paid on time. It is a good feeling to be able to be ahead of the game now. You really do need to know where each penny goes and be able to see where you can cut out some costs.

 

There is an app that help anyone to create a good budget plan, it is "Money Lover" Available on Google Play, App Store and Windows Store. You can always rely on Money Lover: a cool, simple but excellent tool for your life. It's an all-in-one solution for everyone to solve any money-related problem. I recommend strongly.