How Dummies Should Budget

At last, you've made it! You finally have your own fully-equipped pad and a very lucrative career! The catch, though, is that this time, you will have to do everything, including the budgeting, all by yourself.

Sounds scary? It shouldn't be! For dummies like you in the field of budgeting, all you really have to keep in mind when creating a budget is to make sure that you settle all accounts, that you always have enough funds in store for emergencies, and that you spend wisely.

Not satisfied? Here are some easy to do tips that could help:

1. Budget for savings first. In other words, you have to sort of pay yourself first by allocating some funds where they are sure to work for you, like a savings account or an investment in, say, useful stuff for your pad or even a business. To be on the safe side, budgeting experts advise that you keep it a habit to put at least ten percent of every paycheck you receive to this fund.

2. Next, make sure that you save for emergencies. Now that you are on your own, you basically have yourself and no one else but yourself to rely on when emergency situations happen. Make sure you are ready by setting up an emergency fund. In this fund, you should be able to get three to six months' worth of your expenses. This is to make sure that, say, you lost your current job and it will be a while before you get another one, there is still somewhere you could turn to to tide you over.

3. From this time on, use cash more than your credit card. Actually, it is more advisable if you would just nix the credit card totally. Why? For this simple reason - it's just going to justify needless spending, and the interest it rakes in is just too much.

4. In connection to that, always keep this rule in mind: Never, ever spend more than what you actually earn. In fact, it will be better if you can spend less than your means. Always keep a cap on every expenditure in your budget plan. And, learn how to bargain and negotiate better deals in all your investments and purchases. Going cheap does not necessarily equate to living a lesser quality life - if you are wise.

5. Finally, look ahead. At what age do you want to retire? Would you want your retirement to be comfortable? Of course, you do! So invest on a retirement fund now.

 

 

Money Tree Personal Budgeting Software - Click Here

 

 

Budgeting And Finance News:

 

Dutch finance minister defends austerity approach
Dutch Finance Minister Jeroen Dijsselbloem defended his strategy of cutting government spending and increasing taxes to reduce the country's budget deficit EUR” despite a lengthy recession in the Netherlands ...


Budget process brings village recognition
The village of Hobart has received an award from the Government Finance Officers Association of the U.S. and Canada for the transparency of its budgeting process...


Questions for the Record Submitted by Senator Sheldon Whitehouse - Heritage.org

Questions for the Record Submitted by Senator Sheldon Whitehouse
Heritage.org
[5] Knut Klepsvik, OECD Senior Policy Analyst, confirmed in personal communication, EURśThe data of the Restoring Public Finances, 2012 Update are based on self-reporting from countries but the OECD Secretariat has performed a data quality control as we .

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The Experts: Is Creating a Personal Budget a Good Idea? - Wall Street Journal

The Experts: Is Creating a Personal Budget a Good Idea?
Wall Street Journal
A budget can be thought of as consisting of expenses you have to makeEUR”for example, rent or mortgage payments, utilitiesEUR”and expenses you'd like to make but could cut back on if necessaryEUR”for example, dinners out, movies, vacations, new clothes and .

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Stakeholders want Budget Office separated from Finance ministry
Financial experts, who converged on the National Assembly on Monday, submitted that there was a fundamental flaw in the nations budgeting process. While denouncing the situation, they recommended that the Budget Office should be removed from the Ministry of Finance and brought under the National Planning Commission in order to synchronise planning and budgeting. They.  [Read More.]..


 

 

Money Tree Personal Budgeting Software - Click Here

 

 

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