Why are budgets important? We will provide you with tips and advice to help you create a budget.
1. Provide an analysis of one’s financial situation.
2. Budgets will show you the items one can afford.
3. Motivate one to remain responsible for one’s expenses and financial goals.
What is a budget?
A budget is an itemized summary of likely income and expenses for a specific period of time. One can create a budget using a spreadsheet in order to itemize the money coming in and out of one’s household. Planning and monitoring one’s budget can help one identify wasteful expenditures in order to maximize one’s resources in order to achieve one’s financial goals.