Originally posted on June 15, 2022 @ 10:20 am
One of the major challenges we have today most especially as professionals is how to live on a budget. Living on a budget does not necessarily mean you have to kill yourself ( no way), it simply means being responsible with your finances.
Although you might be cashing our in your various professions, sources of income etc. Did you know it’s also important to live on a budget so as to save for the future? I’m not saying you shouldn’t live like King/Queen but its good to save and invest. While investing also try to save because it wouldn’t kill you.
Check out Ways to save money with out stress
The question is how do I live on a budget.
1). First things first, create a budget list or have someone reliable do it for you. Calculate your weekly, monthly & yearly expenses to determine whether you live above, below, or within your income.
2). Breakdown your expenses by organzinging your bank accounts and remove irrelevant expenses.
3). Have a plan. Give yourself a budget goal every week or month. Although this can only be achieved once you’ve created your budget list.
Easy and simple right?
4). Always review your progress weekly and monthly to determine if your are working according to your budget plan.
5). Be willing to sacrifice & Be consistent. You cannot live on a budget without sacrificing one or two guilty pleasures.
6). You can also establish the 50, 30, 20 rule which is to spend 50% of your income on needs ( important personal things/ activities), 30% on wants such as investments and paying of debts & 20% on savings.
To achieve all these it’s important to note and understand what kind of budgeting strategy works best for you.
Disclaimer: I am not a financial coach or what so ever, however these are simple budgeting responsibilities we should all adapt as individuals.