Does having a budget seem like a chore to you? While it does take extra effort and discipline to create and maintain a financial budget, the benefits you’ll receive definitely make it worth it. Whether you need to pay off debt or simply build up your savings, these 6 reasons why you need a budget may give you the extra push you need to get started budgeting today.
I’m not going to sugarcoat it. Maintaining a financial budget will require a lot of self-discipline and sacrifice. But once you see the benefits of managing your money responsibly, you will see it’s worth every bit of effort you put into it. When the savings start piling up and the debt starts dwindling down, you’ll understand why it was so important to put a budget into place. Here are 6 reasons why you should have a budget:
You can identify and eliminate wasteful spending.
Once you start documenting where you’re spending your money, you’ll start seeing where you’re wasting your money. When my husband and I were first thinking about creating a budget, we started out by simply writing down every purchase we made. After a few months, we could easily see our wasteful spending habits. A few dinners out didn’t seem like a bad choice until we saw just how much money we were wasting each month by not eating at home. You see, once you see it all in black and white the truth settles in. It makes it easier to see your need to create and maintain a healthy budget.
You will be more prepared for financial changes.
Having a budget makes it easier to adjust to financial changes in your life. You will be better equipped to deal with an unexpected pregnancy, long-term illness or job loss if you’ve been budgeting and have an emergency fund in place. You’ll also know exactly how you’re currently spending your money and be able to adjust your budget due to the unexpected change in finances. It’s at hard times like these that you realize the importance of sticking to a budget!
You can set and achieve financial goals.
What financial goals do you have? Do you need to pay off debt, save money for college education or build up an emergency fund? Maybe you want some fun money to use on weekends or vacations. Whatever your goals, using a disciplined approach by creating a budget will make you more likely to succeed and reach them.
You can plan for retirement.
You may be young now, but it’s important to remember that you will not stay that way. There’s no time like the present to think long term when it comes to your money. How can you start planning for your retirement today? Do you need to open an IRA or 401K? Don’t put it off! Planning now will ensure you’ll have the finances you need to enjoy your retirement when it comes around.
You will have less stress.
Can’t sleep at night because you’re worried about your finances? Not sure how to pay off those credit card bills and the looming tax bill hanging over your head? I know what it feels like to be stressed about money and I know that it’s no picnic. You have enough stress in your life without adding financial stress to the mix. Trust me when I say you’ll have less stress in your life once you have a budget in place. Why? Because you will have a plan, a course of action, that will lead you to financial success. The peace of mind having a budget provides is priceless!
It will improve your marriage.
Many marriages end in divorce each year, and many of them say money issues were the cause. Do you and your spouse disagree or fight about money? That beautiful new handbag or shiny new handgun isn’t worth destroying your marriage, so put a stop to the arguments now by creating a budget! Using a budget will keep you both accountable for your finances. Grow closer as you work towards your family’s financial goals.
Now is the time to put YOU in control of your money instead of your money controlling you. Stop making excuses and create a financial budget today. It may hurt a little at first, but trust me…in the long run you’ll be so glad you did!