@Kushyzee
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Why you should have a budget Hello ladies and gentlemen, how are you today? My field practical training will be coming to an end this week and I will be leaving Lagos on the weekend 🥳 We didn't have any class today because we took part in helping the researchers to start a new experiment. Today started quite well because I didn't have much to do earlier in the morning except to have breakfast and watch a movie titled "The exorcism of God" (horror lovers will love this one 🥶). Later today I will focus on completing my logbook so that I will have it signed tomorrow. While surfing the net today, I found out that the ongoing university strike has been extended by an additional two months and I am happy about it (I know some persons will come for my head at this point 😆). The reason why I said I am happy about it is because it will give me an avenue to save up a lot of money while I am at home, and that's what I am here to talk about; money! What's a budget?
**Image source** https://www.freepik.com/free-vector/couple-planning-honeymoon-holiday-choosing-trip-destination-flat-characters_11669359.htm#query=Budget&position=12&from_view=search According to **Wikipedia**, "A budget is the sum of finances allocated for a particular purpose and the summary of intended expenditures along with proposals for how to meet them". But I am not going to be talking about the deeper side of budget, I will just focus on the basics which are simply just planning how to use your income for a week or a month. https://en.m.wikipedia.org/wiki/Budget Being in the university has thought me a lot about managing my money and economizing. Before now, I used to be a reckless spender and will squander all my allowance on things I don't even need. But getting into the university, I learned how to manage my income and use it on things I really need at that point, but that doesn't mean I don't spoil myself sometimes 😉. It even got better when I discovered readcash and started earning money which I didn't earn in the past. Before now, I used to rely on the allowances I got from my parents as well as some few online jobs I took, but the money was very small that I was on a very strict budget. But with readcash, I was now able to earn very well and I had a lot of money on my hands, but that doesn't mean I can go crazy and start spending like a sugar queen, I had to draw out a budget. So what did I do? I put myself on a monthly salary of $20! 😀 Out of what I earn every month on readcash, I took out only $20 and I saved the rest. That was more than enough for me because I already have food items at home, so I only needed to buy some little things like meat, eggs, and other perishable goods if I want to cook. I take care of all my needs from that $20 and then the next month, I withdraw another $20. Using this method, I have been able to properly monitor the way I spend money and anytime I want to buy something crazy, I first look at how much I have left and figure out if it will be enough till the next month. But there are a few exceptions to this method, sometimes I end up withdrawing more than $20 in a month and that only happens when I have to buy something I really need (like when I bought a power bank).
**Image source** https://www.freepik.com/free-photo/high-angle-budget-wooden-blocks_8218549.htm#query=Budget&position=10&from_view=search Having a budget will make you conscious of the way you spend, and that's because you will try to manage the allocated income for that period. But what I am doing isn't exactly a budget, but it's close enough. Let me paint a picture of how a budget looks like Peter earns $500 monthly and he has to manage the money to make sure it covers all his needs. This is what his budget will look like; Rent - $50 Food - $100 Light and gas bill - $50 Household items - $50 Emergency - $50 Savings - $100 Miscellaneous - $100 This is basically what a budget looks like, it's a breakdown of how Peter is going to spend his monthly income of $500. With this, he already has the money allocated to important aspects of his life, as well as having a certain amount to play with (miscellaneous) and also some he kept aside in case of emergency. But for someone that doesn't have a budget and just spends his/her money on whatever comes to mind, it's very easy to lose track of their spending and end up wasting money on things they can't even keep track of. At the end of the day, they discover they haven't met one or more of their needs and there's no money to even achieve that. **Conclusion** A budget doesn't have to be complicated, it can be as simple as mine which doesn't have to be written out or you can design it just the way Peter did and write it out. It takes discipline to stick to a budget but the benefits that come with it will make the whole process worth it 😉 **Thanks for reading 💖💖💖** **Monday March 14, 2022**
28 comments
I am always into budgeting, simply because I am not fond of borrowing money. I have that motto in life to spend only based on what you earn.
Same here, I never like borrowing and that's why I always try to manage the money I have, no matter how small
Budget is a very good thing. It helps us to properly plan our finances. Like you liked above, peter would be able to keep $100 as his savings, if he had had no budget, he would probably spend everything the way he likes, and would have no savings at the end.
That's the whole point of it, to be able to properly allocate income and make sure there's a saving at the end
Budget can really save time and also money, it's like a blue print on how we should balance and spend oyr bills wisely.
Making use of a budget is just a way of planning for future expenses so we can spend wisely
The budget can be spent according to the target. And money is used wisely.
Exactly, that's the whole point of having one
Thats true budgetting is very hard. It can make us conscious of everything where we need to spend it. Hahha thats me! I always tell myself is it worth to have this things and I always care about the future needs to that is why I am so strict sometimes when it comes money.
I also care about future needs and I love planning ahead so I wouldn't be caught in an emergency where I will need money
Yeahh that should be kushy
*As a mother, i am always budgeting our money so that we won't run short when it comes to our expenses. It's really hard to do it but it's worth it at the end knowing i am able to save a little or i am able to spend it on important things that my family needs*
Mothers are masters when it comes to budgeting, no other person does it better than you mothers 😁
*Indeed, we are. Even the single cents that we used, we include that in our list. Hahaha*
Back when I was still in College, I also used this kind of method on how to budget my weekly allowance. Budgeting is very necessary for us to know the do's and don'ts when it comes to how we spend our money. Spending it in important things, should be the outmost priority, especially if its just enough. Honestly, I also lost track on how I spend mine, but I see to it, that before I buy the things I want, I should firstly buy the things I need.
Looks like you're really good when it comes to managing money, you just talked about one of the most important thing in managing funds; satisfying needs first before wants
Use wisely when it comes to money, use money for the security it provides
That's right Faith, we should use money the right way
I agree with you, we don't need to complicate things when budgeting. I love that your example on Peter has the Savings as part of the budget :)
Saving is an important aspect of managing money 😁
Truth :) And I know you are doing well with yours :)
Budget is a must. It's a way of survival too. We should learn how to budget the financial matters. When I was in college Kushyzee. I learned to budget my allowance because it's for one week already including my fares to school and travel home. I carefully budget my allowance so that it will be good for one week.
It's in college that we properly know how to make budget, it's a good way of managing our money
Yes Kushyzee it's really important. I remember my school years. 😊
Up for budgeting, even though we afe earning good here still we should know how to handle our finances. As for me, I also put a budget in myself and for my Mama $40 pero month. Sometimes it was more than that but it's okay, as long as I can also help even a little.
The main aim is to manage the money we set aside each month, no matter how small or big it is we should be able to manage it properly with a good budget
My elder sister that attended aboarding school can save enough for Africa. Infact her budget is so strict that she never cared about shoes and bags. She could use one bar of soap to wash Cher clothes for three weeks. Sometimes I don't even Know if I should call her stingy. Although, prudence is really an admirable character Sha.
There are people that take this budgeting matter so serious that you will think they are born to be stingy 😆 they follow a strict budget as if their life depends on it