Category: Make Budget

The Difference Between Wants and Needs

When you’re creating a monthly budget, one of the most important steps you need to take is categorizing your spending by whether it is a “need” or a “want.” It is also one of the most difficult steps because what is a need versus a want can vary from person...
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How to Track Your Expenses

Tracking your expenses is one of the key factors in making your budget work for you. If you do not know how much you have spent each month, you cannot tell when you have overspent. Even the small expenses can cause you to blow your budget. There are several options...
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Understanding Budgeting & Personal Finance

Budgeting is the personal finance tool for taking control of your money. A budget is a written plan for how you will spend your money. It allows you to make financial decisions ahead of time, which makes it easier to cover all your expenses along with paying off debt, saving...
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A Step-by-Step Guide to Getting Out of Debt

Debt will keep you from reaching your financial goals, like saving for retirement or buying a home. It can be a source of stress and grief, causing you to constantly worry about your finances and regret the limits debt has placed on your life. Fortunately, debt isn’t a life sentence....
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What Is the 50/20/30 Budgeting Method?

The 50/20/30 budgeting method is a spending plan that has you set aside 50% of your take-home pay toward needs, 20% toward savings and debt repayment, and 30% toward wants. It makes monthly budgeting more flexible and sustainable since it focuses your spending on broad categories and avoids the need to...
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How to Make a Retirement Budget

Planning your finances using a retirement budget can improve your peace of mind and lessen your stress about money in your golden years. Plus, calculating your budget will help you avoid spending too much of your nest egg too soon—a financial mistake many retirees make. With a few simple steps, you...
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Budgeting Discretionary, Variable, and Fixed Expenses

Although only around one-third of Americans use a household budget, there are substantial benefits to laying out a spending plan. Making and following a budget can help increase your financial security and build wealth.1  Whether you’re budgeting for the first time or updating your existing spending plan, it’s essential to account...
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6 Steps to Creating a Monthly Household Budget

Download and Print a Budget Worksheet Use a worksheet to help get started in order to complete all the steps below. You can also create your budget worksheet using free spreadsheet programs, including the ones offered by Vertex42 and It’s Your Money, or even paper and pen. List Your Income Start by...
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Budgeting Tips

Once you have set up a basic budget, customize it according to your financial situation and goals. If you work on commission, be aggressive in saving to help cover periods when the market is slow.  If you have cash flow issues because you are paid only once a month, divide that...
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How to Use Your Budget

After you have set up your budget, you must monitor and continue to track your expenses in each category, ideally every day of the month. The same budgeting spreadsheet or app used to make your budget can also be used to record your expense and income totals. Recording what you spend...
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