Most people think that why they should note down how much they spend and add up their expenses each month when they already know they are going to spend all of their income anyway. Well, the whole purpose of having a personal budget is to keep your monthly finances from completely draining out. You probably be living from paycheck to paycheck right now, and feel that you don’t need to maintain a budget. But think about when that paycheck won’t be enough to cover for an unexpected emergency situation, or worse when it is time for you to retire,, but you can’t because you have nothing saved up to support you in that age.
Having a personal budgeting is essential for living a decent life in today’s day and age. But a lot of people make excuses just to deny that they don’t need a budget in their life. Here are some of the most common excuses that people make:
1. “It takes up too much of my time.”
So according to these people, freeing up 5 minutes a day and 35 minutes a week for maintaining a budget is too much for them. You might be a very busy person, but think of the time when you need some extra cash in an emergency situation, and you have nothing but your paycheck to rely on. There are so many great apps that enable people to budget with just a few taps on their smartphone. They don’t even have to especially open their laptops and PCs for this purpose now, thanks to the advanced technology.
2. “I don’t need a budget. I keep track of income and expenses in my head.”
These people must be some kind of genius, as keeping track of so many expenses for over 30 days a month is not something a normal human being can do. An average Joe has a long list of expenses, such as groceries, utility bills, daily food expenses, car expenses like fuel, repair and maintenance, clothes, house cleaning, mortgage, cable, loan payments, auto insurance, health insurance, rent, taxes, credit card payment, and cell phone bills, to name a few.
On the other hand, having a personal budget makes having a general overview of your monthly expenses very easy. If you think writing it down is hard, you can use a budgeting software or app.
3. “My income isn’t enough for me to maintain a budget.”
Well, this makes it even more important to have a budget. With it, you will be able to know where your money is going and where you can cut back to save for a rainy day. In addition, you will be surprised to see that within a short time, you will be able to afford most of the things that you only dreamt of buying. Not only that, if are able to save enough, you can plan for early retirement, or better yet, financial independence.
There are countless benefits of having a personal budget. All you need to do is take the first step, and within just a few months, you will be surprised to see how much have saved for yourself.