BUDGET I

BUDGET 1
A budget isn't some piece of rocket science that only banks, businesses, the news and grandparents throw around. It's a piece of information that applies to your daily life. Ever make a store list? That's holds the same principle as a budget.

A budget is an estimate, often itemized, of expected income and expense for a given period in the future. --Dictionary.com

STEP 1: SET THE STAGE
Budgets are hard to keep for a lot of people, most of the time they end up going over their spending limit. In order to be RICH and stay that way start small in your budget skill building! If you've already started to practice Cracking the Safe and doing the $5 Dollar Fund congradulations. You've already started a buget for yourself and keeping it! Now let's try something a little more substantial, like a Store list.

Example: The Store list
Part1-The store list is one of the most easy things to learn to set a budget on. If you have a certain group of items written on the list STICK TO IT. Think of the list as your Stage when you go to the store. Don't go adding more things (characters) to your cart if you don't have it on the list! It's like over loading it with things you don't really NEED but you saw it and WANTED it. If it's not on the list. Don't get it.

Part2-Holidays are another big time when the word budget comes up. I'm sure you've heard the word budget come up around October-November when people start mentioning Christmas. Christmas is a huge time when the word budget is used because of the sorrid after-math that comes in January and February. When Holiday shopping bills come back for payment and taxes need to be turned in. A mind boggling and finance crushing time unless you spent and executed your shopping wisely. This will tie in with greater detail later on in the blog.

Now if you feel you can easily handel part one or have tried it several times and have done it without adding anything then congradulations! Now you can add Step 2!

STEP 2: THE REAL DEAL
This is where you will set the Actual Budget. To do this you need to be aware of the Economy and Prices around you. If you set yourself a budget and find that you have grossly under-estimated the cost of the items you need you could be in trouble. To become aware it's as simple as checking the local sale papers and be conscious of the prices for your typical items. Figure out the average in esitmating the costs and then use that as a guide to set your budget.

If you're completely new to a budget watch the sale papers for a month, mark in the paper what you typically buy with a marker or highlighter. Keep the papers in a file or pile somewhere out of the way but close enough to have easy access. Every week mark the paper of the same items that you get and see what the prices are as they rise and fall. You'll get a rough idea of prices and develope a sense of what is a good deal.

For a more frugal way to set a budget give yourself a dollar amount straight off the bat, such as $25-$100 approximately enough to cover what you need to get. These numbers are just used as an Example; but say you have only $100.00 to available to you to spend at the store for food till next month. That $100.00 is your budget and it has to last you for 30 days. That's a TIGHT budget but it can be made to work out if you purchase items at good sale prices, some of them in bulk and not name brand. You'd be shocked at the same value and quality items are made and yet their boxed and sold for 4$ less than the name brand.

Here's a helpful site that I found while trying to meet my own budget. It's called Divine Caroline and there was an article of The 20 Healthiest Foods for Under 1$. I thought I'd share it with you. After all, there's nothing wrong with keeping your waist thin and your wallet fat!