How to Make a Budget

Although this may seem like a easy task, most individuals and couples do not maintain a budget and even less adhere to ones written. Here are some simple guidelines to help you get your finances and therefore your life under control.

Difficulty: Moderately Easy

Instructions

Things You'll Need:

• Whiteboard
• Dry Erase Markers
• Notebook
• File Folders
• Portable File Box
• Calendar
• Dry Erase Marker

1. Step one is communication and communication is key. I am referring to budgeting with a spouse or partner at this time. You have to be able to discuss finances in a productive manner in order to reach and maintain a comfortable financial arrangement whether one partner works or both.

2. Step two is collecting and evaluating the regular monthly and then the remaining bills. Make a list of each bill including the entire balance if applicable and the monthly amount due. Approximate if necessary but do not leave blank spaces. Also include the date that each payment is due by.

3. Use your calendar to record the date that each payment is due and hang it in a conspicuous place such as the kitchen or bedroom.

4. Label a file folder for each individual account and file alphabetically in your file box.

5. Next make a list of all of your income. This means money that is already coming in and consistent. Do not list prospective business ventures etc.

6. Compare your income to your expense list. Notate in writing how your spending needs to be modified to meet your budget. This is where patience and consideration are important. Make allowances for all family members needs and keep spending limits fair and balanced.

7. Each person should have a list of the budget and should be rewarded with praise when following it.

8. Remember that a budget is a living arrangement and must be reevaluated and revised on an on-going basis. With some fortitude and determination you are sure to see positive improvements in your credit worthiness and in stress reduction!

Tips & Warnings

• Do not forget to add an allowance for savings!
• Use your whiteboard to keep notes regarding budget and finances plus income ideas, etc.

Resources

• How to Ease Financial Pressures - by Mrs. Christina
• How to Avoid Foreclosure - by Mrs. Christina
• How to Feed a Family for $5.00 - by Mrs. Christina

[FrazzledNanny]

on 1/18/2009 Thanks for the tips and articl. 5*

[ALLinRueThyme]

on 9/30/2008 Wonderful ideas!

[dasbootjoe]

on 5/27/2008 Great Ideas!Nice Job...

[akchrist]

on 5/25/2008 good ideas!