This month it has been all about the money. We have talked about Budgeting, tips on how to save $2000 a year, saving money on groceries, how to create a budget, and hidden expenses to keep in mind when budgeting.
Now We Wait, We Track and We Adjust
Yes, it’s that simple! You have started your budget, and the next step is that you will need to stay on top of your money. There are many online tools out there that can help!
For me, I prefer either an excel spreadsheet or an old fashion pen and paper. Every paycheck, I do a quick “check-in”.
I look at my bank accounts, credit cards, and cash reserves. I verify what bills need to be paid and make sure I am still on track to hit my budget and saving goals.
3 Reasons You May Need to Adjust Your Budget
Monthly halfway check-in & have you overspent?
Investigate - Find out where your budget was off. Why was it off? Do you need to make adjustments to next month's budget, or was this just a one-time slip up?
Correct - Look at ways to cut our current monthly budget to make up for the loss or find ways to make a little extra cash to cover the difference.
You cut too much
When you started your budget, you may have reduced too much, and you are noticing that every time you check-in you are over budget. My friend, this is my downfall too. You have a choice. You can live in a constant state of stress (take it from me, this is no fun), or you can adjust your budget to make it more manageable.
Rainy Day Fund
Life happened. You are feeling good because you had your rainy-day fund to help you through it. Now what? You go back to paying your minimum debt amount and putting the rest to your Rainy Day Fund.
Remember Your Why
We all have a “why”. Why we want to budget, why being debt-free is essential, why we want financial freedom. As you go through this process, keep your why in front of you. Heck, write it down on the top of your budget. Remembering your “why” will help when times are rough and when you want to break the budget to buy something that was not planned. Remember your “why”.
Good luck! You got this!