Five Tips for good Money Budgeting 

Five Tips for good Money Budgeting 

Sometimes saving money can be as hard as not having a good enough plan. It’s hard to know where to begin in terms of saving money, which is why we’ve compiled this list of tips that can help you budget properly, and save long term. 

Record everything

When you begin budgeting, the best place to start is by recording everything that you spend and every bit of money that comes in. This will help you keep track of what your money gets spent on and where you can save. This includes everything from household bills and payments, to petrol to coffee with your friends. 

It’s important to make sure that you record expenses which are definite monthly outgoings such as rent or car payments. But it’s also important to make sure that you record outgoings which are only every so often payments. When we say record everything, we mean everything! It’s the best way to get a good overview of your money. 

Start to budget

Once you have a list of everything that you spend each month, you can begin to budget. This means cutting out things which are unnecessary, or packing your own lunch instead of buying one. By having a record of everything that you’re spending you can see what your spending money on which is costing you more than you realise. 

Being able to see all your expenses in one place will give you a much greater sense of your money and where it goes each month. 

Have a goal 

One of the best ways to save money and budget more effectively is to have a goal. If you have something that you know that you’re saving for, then you’re more likely to budget more effectively. So perhaps you’re getting married, want to put a deposit down on a house, or want a big holiday. Whatever it is, by having an end goal in mind, you’re more likely to stick to your budget. 

Break these goals down into monthly targets so you know what you should be saving each month. This can help with budgeting because it can be easier to see what you need to save in smaller chunks, rather than in huge quantities. 

Set your priorities 

Your goals are the most likely to have the biggest impact on your budgeting. After your bills and other essential outgoings, your goals are likely to be the most thing on your budgeting list. But you should prioritise your goals. You will have short term goals (like buying a house) but you should remember that this goal shouldn’t take a backseat to longer term goals (such as retirement plans). It’s important to remember that although one of these things is more immediate than the other, they are both important. This is where you need to decide what is more important to you, and allocate your money accordingly. 

Don’t be afraid to use loans 

If you have a goal that you’re saving for, and are only a short way off getting there you could always consider a loan. Loanable are a reliable credit broker that can help you find a suitable loan for your needs. They will make sure that the loan is the best fit for you and what you need it for. Whether it’s a personal loan, a business loan or property loan. Loans can help you achieve your goals, but obviously make sure to budget for paying back these loans. 

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Written by themoneyshed

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