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Stop Making These Excuses To Yourself To Begin Budgeting

Have you been making excuses for not wanting to start budgeting?

You probably know that budgeting is an important financial habit to have, but somehow you are still procrastinating in taking action. The stark reality is that the longer you spend procrastinating, the more you would have to lose in terms of financial benefits.

Here are some excuses you need to stop making in order to start budgeting for your financial future. Read on for more.

1. “My Income Is Irregular, So I Cannot Budget.”

You might be giving some part-time tuition that pays by the hour as a student, or you might be a freelancer with varying income streams. However, having an irregular or unpredictable income does not mean that budgeting is unnecessary. You would just have to be conservative when approximating your income and allocate the relevant proportions to expenses and savings. A good strategy to create your monthly budget would be to take your average monthly income for a period of around six months. As you receive income from your work as time goes by, tailor your budget accordingly to ensure that your expenses do not exceed your income.


2. "I Pay My Bills On Time And Save Every Month.”

You might think that just because you pay your bills punctually and save every month, you are already “financially wise”.

Wrong.

Instead, you should have a budget because a budget would enable you to realise additional financial mistakes that you could avoid, such as having too little savings. While you might already be saving your money, not sticking to a plan (budget) to meet your financial goals might not be the wisest move. Think of how much more financially savvy you would be if you have a financial plan and stick to it.

3. “I Already Monitor My Past Spending.”

If you have been keeping track of your expenditure, great job! However, that is not enough merely because monitoring your spending only displays what you have achieved in the past. A well-planned budget enables you to plan in advance how to spend your money, besides displaying how your money was spent. As the saying goes, “prevention is better than cure”, planning your spending carefully beforehand could prevent you from making financial mistakes (such as unnecessary spending) and keeping track of them after they have been made.


4. “I Don’t Make Enough Money To Need A Budget.”

Many people think that budgeting is only for people that make a lot of money. If you are a student, you might be living off your parents’ allowances and thus think budgeting is not for you. Nonetheless, budgeting does not depend on your level of income (or lack of it). In fact, if you have a low income or an allowance, budgeting would be a savvy thing to do to help you utilise and make the best out of every dollar you have.

5.“ I have many unexpected expenses that cannot be factored in a budget.”

If you think that a budget only comes in handy for items or commitments that can be planned for, think again. After all, planning for the unexpected or for rainy days is one sure way to prevent these external factors from messing your financial plans up. For example, you might get invited to a wedding reception or birthday party that you did not expect, or your car might get involved in an accident. A budget with some money set aside for unexpected events could help you tremendously in tiding over such times. That being said, you would have to be disciplined enough to ensure that this money is only for something “unexpected and necessary” and not because you already spent all your monthly income eating at nice restaurants and you want additional sushi takeaways.

6. “Budgeting Would Mean I Need To Change My Lifestyle.”

If you are always living from paycheck to paycheck with zero savings, simply to keep up with the Jones’, you would need to do a recalibration of your lifestyle and spending priorities. Goals like preparing for setting up a family or planning for retirement should take precedence over getting that latest Chanel bag just because your girlfriends just bought them. Learn to live within or below your means, even if that involves making a lean budget and sticking to it.


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