Simply put, a budget is an estimated list of your income and expenses. Making a budget can help you reduce your debt. How? It lets you see where your money is coming from and where it is going every month. Many people have no idea what they spend their money on. They just know they have it, or they don’t. It can be a great tool for avoiding unnecessary stress because it helps you cut down on unnecessary spending. Here are three steps to help you start getting in the habit of making a budget:
- Make a simple list of monthly expenses. Include essentials and extras.
- Make a simple list of monthly income. Include all of your activities that generate income.
- Put in on the refrigerator. The point is to share it with the rest of the family, whether that is your significant other, spouse, parents, children or grand-children. This makes it a family affair.
Contact me for a free booklet for more helpful budgeting and finance tips.