ABC of Making a Budget

Have you ever thought of making a budget to achieve your finance freedom? Did you try to make it work? What happened?

Everyone of us wants to achieve finance freedom. Everyone wants to be debt free. But, the big question always falls on "How to budget to achieve finance freedom?"

Doing the budget is the first step in taking control of your finances. Setting it up make take a little effort, but it's a great way to get a quick snapshot of the money you have coming in and going out.

Making a budget means you're:

• less likely to end up in debt
• less likely to get caught out by unexpected costs
• more likely to have a good credit rating
• more likely to be accepted for a mortgage or loan
• able to spot areas where you can make savings
• in a great position to save up for a holiday, a new car, or another treat

What you need

To start making your budget, you need to consider and work on some things like:

• living costs
• household bills
• financial products (insurance…)
• family and friends (presents…)
• travel (car costs, public transport…)
• leisure (holidays, sport, restaurants…)

A great way to work out your budget is with our free and easy to stay updated with our blog. Just read and take note as much information as you can about your income and spending (bills, bank statements…) and get started.

You can either save all the information in your computer or write it all down in a journal then come back to it anytime you like.

There are also some great free budgeting apps available and your bank or building society may have an online budgeting tool which takes information directly from your transactions.

There you have it! So, to make a budget, first, you have to plan for it. Make yourself focus and determined to stick with your plan. It will not be easy at first but it is surely worth it at the end. So, don't easily quit when you find it difficult at the beginning. Instead, keep on working and focus on the goal instead of the difficulties. 

Financial freedom is a promise of a good budgeting skills. Be wise enough on how you allocate your money and how you spend them. Focus on the needs and not just on your wants. This will surely give you a great result on your budget.

Source : articlesbase.com