258 | Budgeting Basics: How to Create a Simple and Effective Budget
Hey there, budget besties! 🙌 Have you ever tried to create a budget only to feel overwhelmed and confused? You’re not alone. Just googling “budget template” can make anyone want to run away screaming. Today, we’re here to change that. We’re going to show you how budgeting can be simple, clear, and totally doable. Ready? Let’s dive in!
Why Budgeting Feels Like Trying to Lose Weight
Budgeting often feels as complicated as trying to get healthy. There are so many steps: counting calories, tracking macros, hitting the gym, walking, drinking water, taking supplements… It’s easy to get overwhelmed and give up before you even start. Budgeting can feel the same way. Too many rules, percentages, and categories make you want to say, “No, thank you!” 🙅♀️
But just like getting healthy doesn’t have to be complicated, neither does budgeting. We’re going to strip away all the confusion and show you a simple, effective way to manage your money.
The Problem with Traditional Budgets
Many traditional budgets are confusing. For example, they often put debt payments at the bottom, which makes it hard to prioritize what’s important. Plus, all those tiny boxes and categories—car payments here, smallest debts there—can be overwhelming. We didn’t love it, and neither did our clients. So, we decided to simplify things with our five-column approach.
Our Five-Column Budget Breakdown
Here’s how we make budgeting easy and stress-free with five simple columns:
- Income: List all your income sources. Easy peasy!
- Debts: All your minimum debt payments come next. This helps you see exactly what you owe and prioritize paying it off.
- Bills: Recurring bills like mortgage, utilities, and subscriptions. Yes, mortgage goes here, not with debts, because it’s typically a long-term payment. Your debt column disappears slowly but surely!
- Spending: Everything you spend on monthly, like groceries, gas, and dining out.
- Savings: Future goals like vacations, Christmas funds, and maintenance funds.
By organizing your budget this way, you get a clear picture of where your money is going and what you need to focus on. And guess what? It’s all on one page. 🎉
Our budget layout is designed so you can immediately understand how to implement it, knowing exactly what to do with your hands when managing your money.
Why Our Budget Works
- Simple Layout: Easy to read and understand at a glance.
- Customizable: Tailored to your life and goals.
- Actionable: Designed so you can immediately put it into practice.
- Prioritizes Debt: Debt payments are front and center, helping you focus on paying them off.
Take Action Today
Ready to make budgeting simple? Download our one-page budget template at budgetbesties.com/budgettemplate. Print it out, jot down your income, debts, bills, spending, and savings, and voilà! You’ve got a budget.
Remember, the first time might take a bit of time, but the more you do it, the quicker and easier it gets. Soon, your budget meeting could take just 15 minutes!
Key Takeaways
- Keep it Simple: Use our five-column approach to avoid overwhelm.
- Prioritize Debt: List debt payments early to focus on paying them off.
- Customize Your Budget: Tailor it to your needs and goals.
- Take Small Steps: Start with what you know and improve over time.
Budgeting doesn’t have to be a headache. With our approach, it can be simple, clear, and yes—even fun! 🎉 Grab your template, start today, and watch how quickly you become a budgeting pro.
See you next time, besties! 💖
