Do Budgets Really Work?
June 2nd 2008 02:23
As much as I try, I have yet to get a budget to work. It’s impossible since from month-to-month, things seem to change. I get really tired of people in finance saying that you need to set up a budget and then stick to it.
So I have to ask myself, why don’t budgets work for the average person? In my opinion, we aren’t realistic when we set them up. I hear some financial experts advise that people should live on the bare minimum to get out of debt. Yet in reality most people just don’t have the ability to do that. It’s not in our programming. Let’s face it, if I could handle my finances that well that I could live on the bare minimum now, I would have been doing that all along.
My solution has always been to find new sources of income…legally, of course! For me I turn to my talent, writing. Not everyone can do this, I know. So if you find yourself in debt up to your eyeballs and can’t find a way to earn extra money, then it is time to cut out some of the fat. I’m not saying living on next to nothing so you can make whopping payments on the credit cards and your other bills. This is the time; however, to start cutting out the excess shopping or eating out at restaurants. (Contrary to popular belief, eating out includes McDonalds, Taco Bell, etc.) So you don’t have to look poor, but you can steer clear of that big screen tv.
My husband and I have been known to be just as bad about trying to keep up with the Jones’. I couldn’t even tell you how many times I’ve heard my husband say, “We'll just put it on the plastic.” Well, enough is enough. I may not be debt free yet, but I am well on the road to recovery.
I’m not accomplishing this with a budget. I pay my bills, look at the extra I have available each month and think long and hard about what I really want that money to go to. I worked hard for that money, and it has taken me awhile, but I finally realized that I want to keep that money for myself rather than use it as a tip for poor service at a restaurant or overpay for something at the store.
What got me in this direction, or what could help you as well, was finally looking closely at all of my debts. I looked at how much I owed, what I was paying each month, and how much I was paying each year in interest. I would have been better served to burn that money in the fireplace. Instead I have been feeding the corporate giants for years. Enough is enough. It is time to get debt free.
So I have to ask myself, why don’t budgets work for the average person? In my opinion, we aren’t realistic when we set them up. I hear some financial experts advise that people should live on the bare minimum to get out of debt. Yet in reality most people just don’t have the ability to do that. It’s not in our programming. Let’s face it, if I could handle my finances that well that I could live on the bare minimum now, I would have been doing that all along.
My solution has always been to find new sources of income…legally, of course! For me I turn to my talent, writing. Not everyone can do this, I know. So if you find yourself in debt up to your eyeballs and can’t find a way to earn extra money, then it is time to cut out some of the fat. I’m not saying living on next to nothing so you can make whopping payments on the credit cards and your other bills. This is the time; however, to start cutting out the excess shopping or eating out at restaurants. (Contrary to popular belief, eating out includes McDonalds, Taco Bell, etc.) So you don’t have to look poor, but you can steer clear of that big screen tv.
My husband and I have been known to be just as bad about trying to keep up with the Jones’. I couldn’t even tell you how many times I’ve heard my husband say, “We'll just put it on the plastic.” Well, enough is enough. I may not be debt free yet, but I am well on the road to recovery.
I’m not accomplishing this with a budget. I pay my bills, look at the extra I have available each month and think long and hard about what I really want that money to go to. I worked hard for that money, and it has taken me awhile, but I finally realized that I want to keep that money for myself rather than use it as a tip for poor service at a restaurant or overpay for something at the store.
What got me in this direction, or what could help you as well, was finally looking closely at all of my debts. I looked at how much I owed, what I was paying each month, and how much I was paying each year in interest. I would have been better served to burn that money in the fireplace. Instead I have been feeding the corporate giants for years. Enough is enough. It is time to get debt free.
| 82 |
| Vote |
subscribe to this blog
Comment by Cibbuano
Hunt Famous
Orble Post of the Day
Fat Cult
Techbreak
I don't have any expensive habits, though, other than taking my girlfriend out on the weekend. And I don't have kids, which could potentially be a chaotic expense...
Comment by Harry
Sydney Diary
Personals
Brisbane Diarystar