Have you checked on your money lately? 💰 Is it well-fed? 🤑 Getting enough sleep? Do you tuck it in at night? 💸😴
There is a TON of great information about budgeting, and we've squeezed out all the juice you'll need to get your money in order. 🍊 Here's a nice tall glass of personal finance goodness! *sips gracefully* 🧃
Here’s five different ways to simplify your budget:
- 0️⃣ Saved By Zero - If you're used to budgeting, try the zero-based budgeting method. All you do is follow this equation: income minus expenses equals zero. Calculate your monthly income, then subtract all your monthly expenses and savings so the final result is zero. Spend more in one area? Move money from another to make up for it. This method works best if you have a set monthly income that doesn't fluctuate too much.
- 💌 Money Love Notes - Like to kick things old school? The age-old envelope method is still alive and well. It's essentially the same as zero-based budgeting, but you use actual cash. To use this method, first plan out how you want to spend your money each month and break things out into categories. Next, make an envelope for each category and store the cash inside. If you don't primarily use cash, this one isn't for you. However, it can also be used to save for things like vacations and holiday gifts.
- 💡 Keep It Stupid Simple - Wanna keep things simple? Try the 50/30/20 budgeting method. All you do is break your expenses down into three categories. Put 50% of your monthly income towards necessary expenses. You'll put 30% aside for discretionary expenses and 20% for savings and debt payments. While this method is a no-nonsense formula, it's not for everyone. If you have a ton of debt or lofty savings goals, 20% might not cover it. However, you can always play with the ratios to make everything add up to fit your lifestyle.
- 💵 Pay Up - Prefer to focus on savings and pay down debt? Try the pay-yourself-first method. Here, you put aside a specific amount of money for your debt payments and savings goals and spend the rest wherever you need to. This one's perfect if you want to get rid of debt while building an emergency fund. You can also use this method to save for a down payment on a home.
- 🙅🏽 The No-Budget Budget - For all the anti-budgeting budgeters out there, we've got something for you, too. All the flexible budgeting method requires is for you to spend within your means. Monitor your checking account balance frequently to keep tabs on your cash. Track when your bills are due and pay on time. Got extra cash this month? Put it towards your debt payments or savings goals. Once you've covered your bills and essentials for the month, spend what's left on whatever you want!
🔥Bottom line: Whether you use one of the snazzy budgeting methods above or freestyle your own way, tracking your money is a must. Knowing where your paycheck goes each month relieves money stress and helps you reach your financial goals. Now that you've got budgeting off the list, make sure these money deadlines are on your calendar this fall.
Do you use any of these budgeting methods?
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