A Budget – I don’t make enough money to have a budget…

The question that I ask all of you is this – why don’t you have a budget?

Whenever I ask people this question, they do one of two things, they squirm or whip out their check register. We either have a budget or we don’t, my curiosity comes in the “don’t.” I was trying to reflect back today on my past and why I didn’t have a budget, here is what I can remember about my thought process at the time in regards to a budget:

  • I make plenty of money, I don’t need a budget
  • It is a hassle
  • I really don’t want to see what I am spending on what, I just want to spend
  • I don’t need one
  • Budgets are only for people without money
  • I’m not a numbers person

Remarkably, my reasons above at the time, are all the same reasons I hear from you. So, this is my attempt to CHALLENGE you. I figured everyone these days is on a challenge of some kind, why not challenge you to consider why a budget might be a great tool for you to gain financial freedom?

What we have to remember is that awareness equates to freedom, so as we can grow aware in things, we can gain freedom. If you were lost in a maze and then had map made available to you, your awareness would be heightened and freedom would be just around the corner. Look at a budget like your MAP.

Reason #1: I don’t make enough money to have a budget

I can understand this reasoning, if I’m not making enough to barely pay my bills, what is the point in budgeting? OK, fair. Let me CHALLENGE you to look at this in a different way.

If I handed you a $20 bill and told you that it had to last you the entire month, and each week, I needed you to purchase a $5 item, what would you do?

You would purchase the $5 item in week 1, put the $15 aside for week 2. In week 2, you would purchase the $5 item, and put the $10 aside for week 3, and so on. Right?

This is the principle of budgeting – setting up a plan to strategically purchase items or pay bills throughout the month against the money that is expected to come in. A MAP for where your income is going to go.

If this is the case, why does it matter how much money you are making?

A plan is always a good idea…I challenge you to consider making a plan by completing a cash flow worksheet. The first step to freedom!