217 | The #1 Step to Take Before You Make Your Budget

Do you ever feel like you’re constantly failing at budgeting? You’re not alone. Maybe you’ve tried to set up a budget, but your bank account never matches what you wrote down. It’s frustrating, right? 😫

Today’s post is for YOU. We’re going to reveal the crucial first step you need to take before you even start budgeting. This step will set you up for success so that this time, your budget will actually work. And if you’re already budgeting, you can use this episode as a check-in to ensure you’re on the right track.

The Personal Struggle: We’ve All Been There

In the beginning, it’s common to feel lost and frustrated, not knowing where your money is going. One might find their partner’s income coming in, only to see it quickly disappear without a clear understanding of where it went. It can feel like a constant guessing game, trying different methods but still running out of money.

For many people, budgeting feels uncertain. Numbers are written down, but they often don’t match reality, making the whole process seem like it’s not working. But here’s the thing—you’re not failing. You’re just missing one crucial step.

The Missing Step: The 90-Day Review 📊

You’ve heard us mention it before—the 90-day review. This step will give you actual numbers and help you start your budget on the right foot. Here’s how to do it:

1. Print Your Bank and Credit Card Statements: Gather your statements from the last three months to get a good average of your spending.
2. Categorize Your Spending: Use different highlighters for categories like bills, spending, restaurants, debt, groceries, gas, and savings.
3. Total Each Category: Add up the amounts for each category to see where your money is going.

Supplies Needed for the 90-Day Review 🖍️

• Bank and credit card statements
• Different colored highlighters
• Calculator
• Beverage of choice (make it fun!)

Reflection Time: What Are Your Numbers Telling You?

Once you have your totals, take a moment to reflect. What do these numbers tell you about your spending habits? Do they match your goals? This reflection is crucial to setting realistic budget numbers.

Setting Realistic Numbers for Your New Budget

Based on your review, set realistic numbers for your budget. Don’t make drastic cuts that will make you feel restricted and lead to failure. Start with a middle ground and adjust as needed.

Real-Life Examples & Client Success Stories 🎉

One client said, “I still have money leftover from before I got the next budget or paycheck!” This shows that realistic budgeting builds confidence and prevents feelings of restriction. Another client, after designating money for specific categories like kids and family outings, found she had more control and less overspending.

Take Action: Start Your 90-Day Review Today!

• Print those statements.
• Get your highlighters ready.
• Total up your categories.
• Reflect on your spending.
• Set realistic budget numbers.

Remember, this is your foundation for a successful budget. With actual data from your spending, you can create a budget that works.

Book Your Free Call Now!

We are excited to create the time & space to talk to you about your current money situation. This is a free, no-obligation call where we can answer questions you may have and maybe find some quick wins for your budget.

What do you have to lose?