Stick to a Budget in 2016
Not everyone has the same financial goals. Some may want to build up a savings account, or save for a home or vehicle. Figuring out your monthly expenses, both necessary and spending money, while still being able to contribute the most to savings is not always easy, but a budget is needed to stay out of debt increase contributions to savings. If you find yourself overspending and not having enough left over each month, take a look at how much you are spending eating out, going out to bars, and any other expensive habits you may have, and reduce spending to stick to your budget. If you start smaller and gradually increase, it may not be as noticeable.
The only way to find out what you’re spending money on is to keep track. You would be surprised that spending a few dollars on a coffee, fast food, or eating out for lunch because you were lazy to pack, are a few things that quickly can add up over a month, let alone a year. Not to mention going out for dinner, spending a few nights a week at the bar. If you do not believe me, check bank and credit card statements each month to analyze spending. Take a look at the items that you could have gone without and add it up, it might make you cry.
Having a budget means you have to stick to it, so it is going to take some discipline. It does take patience and requires flexibility as there can be many unexpected charges that come up, or if anything should have with to your income level. A good way to start would be to try only using cash for spending throughout the entire month. Take out a pre-determined amount of money and only use that amount. Having using real money instead of a credit card with virtually endless limits could limit any potential shopping sprees, reduce impulse buys, and keep priorities in line to stick with your spending limits. Make sure the savings account is not ignored as well and stay focused on contributing, avoiding any dipping into it. The burden does not only have to fall on you, so make sure you make it a team effort with the budget and involve your significant other so that way you can rely on each other for support, pushing each other to be financially successful.