Let Budgeting Lead Your Financial Goals
You’ve finally achieved the income you’ve been working so hard for. What happens now? First thing’s first: Start with a budget? You’ve heard of it. You know you should have one. You know you should stick to it. But, unfortunately for most, it is one of the hardest things to maintain over the long term. And, many workers are just one car repair or illness away from being tapped out.
Even those making more than $100,000 a year struggle with this. According to a recent CareerBuilder report, 10% of those with six-figure salaries live paycheck to paycheck, and 59% said they were in debt. Don’t want to be caught up in this cycle of financial distress? Consider the following Spending Power tips to make the budgeting process a little easier and your financial goals attainable.
1. Log Your Expenses
Log your expenses daily, but if daily is too much to handle for your busy schedule, log them weekly. I require all of my clients to do this because it is the best way to monitor if you are staying on task.
2. Only spend dollars you can see
A weekly cash budget can be your friend and key to staying on track; leave your plastic at home.
3. Leverage budgeting tools
Use a budgeting app or sheet; I use Google Excel and update it weekly based on my established budget. There also are also budgeting apps, such as Mint, that can pull your banking and credit accounts information to make logging your expenses a little easier.
4. Get an accountability partner
Hire a financial advisor or coach. Having someone guide you can help you stay focused and disciplined about your spending.
5. Write your financial goals down
Place them in a place that serves as a reminder to you daily. This is a sure way to stay on task.
6. Share with your friends
Let all your friends know about your budget because there is nothing better than a support system, besides they may want to join in.
~ Crystal Dobson, Financial Professional
Crystal is the founder of Spending Power 360, LLC, a comprehensive program that offers businesses, individuals and families a 360 approach to their finances by carefully analyzing needs and providing a personalized strategy to meet them.