A new year means new resolutions! According to researchers, some of the top resolutions people make each year include (in no particular order):
1. Exercise more/Lose weight
2. Get organized
3. Save money/spend less money
4. Learn a new skill
5. Read more
While Mission 2 Organize can’t help you with all of these goals, we can definitely help with one or two! Of course, our mission is to bring order to people’s lives, and our website, social media, and monthly newsletter are chock full of tips and ideas to help you get – and stay – organized! So, we’ve got you covered there.
And the good news is if you want to save money or spend less money in the upcoming year, we can help with that too! This month at M2O is all about Organizing Your Budget and to kick off our topic, we have a few tips you can implement to get your finances in order once and for all!
Simple Solutions for Budgeting Success
The first step in any financial endeavor is to have a budget in place. Budgets let you know how much money is coming in and going out each month so you can make better decisions about how to save or spend the money you have.
But sometimes managing a budget is easier said than done!
Here are a few simple solutions that can help you achieve budgeting success:
1. Utilize a budget form to keep things organized. Using a spreadsheet or designated program, create a budget that works for you. Determine how much money you bring in and what expenses you have. This will help you stay on track and be accountable in a way you can see and keep tabs on.
2. Determine if you want to go digital or physical with your budget. Thanks to the world of technology, we can easily manage our finances with apps and spreadsheets, but there are some who prefer to use more physical means (balance sheets, envelope systems). While it doesn’t matter which way you go, the important thing is to pick one way – either digital or physical – and stick with it. As with your calendar, choosing one system can keep you from overlapping information and creating headaches.
3. Review. Once you have a budget in place, take time to review what worked and what didn’t work before. This will help you target areas you need to may need to be more mindful of when it comes to spending or encourage you in your efforts to maintain your finances.
4. Set aside time to work on your budget regularly. Budgets only work if you work on them. Be sure to schedule time each week to check how you’re doing with your budget (spending too much in one area? not saving enough in another?), otherwise you’ll find that things can get out of control quickly and you’ll need to dedicate even more time to correct the problem!
5. Have everyone in your household involved. Unless you’re single, it’s important to share the budget with everyone in your household as you’ll need everyone on board to guarantee success. Ideally, you’ll want to sit down and explain the budget and what that means in terms of spending. Also, be sure to explain the goal and the eventual reward so it’s easier to get everyone to go along with the changes a new budget might create.
6. Be gentle with yourself! In a perfect world, a budget would work smoothly and balance out at the end of each month. Sadly, we don’t live in a perfect world and there will be times when you (or someone in your household) will slip up and cause the budget to go off-kilter. If that happens, be gentle with yourself and know that you can always start over next month! You can’t plan for the unexpected, but you can do your best to be prepared to weather the storm and keep going!
There’s nothing sexy or fun about budgeting, but if done right, it can make a difference in your life and with your bank account. While we can’t guarantee millions of dollars in the bank or full financial freedom, with these tips you’ll be well on your way!
How can budgeting make a difference for you this new year?