Build Your Budget

My parent’s always urged the use of a budget. I heard about budgets in college. When you speak with a financial professional they will always ask if you use a budget. You are supposed to budget for a new car, budget for a new job, budget for marriage and children. But how do you budget if you don’t know how to construct a budget?

Budgets are talked about as an easy first step in your financial success but what I often find is that they are the most miss understood, miss used tool in a young professionals possession.

4 Key Items to ALWAYS have in your budget:

  1. Always over budget- estimate all your expenses on the high side
  2. Always include all your expenses- some bills you will only pay every other month such as gas and electric, but include them in your monthly budget, every month
  3. Always pay yourself- set aside a specific amount to put into your savings account. I will never tell you how much to set aside, that is for you to decide. However, I will tell you to get into the habit of paying yourself every month.
  4. Always set aside some fun money- it is so important to have a little money left to have some fun with. Treat yourself to a manicure, a nice dinner out, or that new outfit you had your eye on.

Visit this link for my complimentary budget worksheet that you can use every month. Print it off and start budgeting!

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