Millennial Money Talk #2 - Get A Real Budget
I recall back in my early twenties being asked if I had a budget, and of course my answer was always a solid 'Yes'. In my mind a budget was having a rough idea (in my head) of my expenses (rent, cell bill, etc) along with a few good intensions of how I'd like to spend the rest of my money. At the time I had no clue that what I had was NOT a budget.
Whether you would like to have a budget or not, the experts agree that having a REAL budget is a key element and the foundation to your financial success. A good budget will help you to:
- Allocate your money towards your priorities. (Never chance having to go into overdraft again.)
- Realize where your money is really going. (Too many lattes at Starbucks perhaps?)
- Help you visualize what you can cut back on so that you can prioritize your money towards your savings or investment goals. (Is buying that new shade of lipstick really priority?)
- Avoid wishing you had saved more money instead of spending it on something silly. (I'd have so much more money this month if only I hadn't purchase that designer handbag.)
- Have a sense of freedom and assurance knowing where your money is going.
We modern day women work so hard for our money - it would be a pity to just let it slip out of our fingers without giving it a thought.
I was twenty-seven years old when an old friend of mine gave me my first budget. Today I'm going to pay it forward by giving you your very own budget template. For those of you who are savvy with Microsoft Excel you can get your Excel version here, and for you ladies who prefer jotting stuff down on paper I've create a printable version which you can get here.
I swear by a budget. It helped me get out of debt, reduce my living expenses, and find more money that I now invest - which if you've read Tip #1 you know that investments can make you even more money, even while your sleeping.
If you have any questions on how to use your budget I invite you to reach out to me at firstname.lastname@example.org
As always, wishing you a prosperous journey.