There are a number of reasons why many of us do not create or live by a budget. Many of these reasons are based upon false assumptions, or myths. The following are a few such myths and their corresponding realities that may help us overcome our own resistance to budgeting.
Myth # 1: If I had more money, all of my problems would be solved.
Reality: Actually, spending less than I earn may solve many of my money problems.
Myth # 2: Budgeting is for people who are in debt.
Reality: Budgets are for anyone seeking to stabilize their finances and build debt.
Myth # 3: If I balance my checkbook, that’s as good as budgeting.
Reality: The checkbook can’t help me prepare for unexpected expenses like car repairs or doctor visits. Budgets can!
Myth # 4: Following a budget inhibits my freedom of choice.
Reality: Following a budget increases the likelihood that I’ll take care of my financial priorities first, such as housing, food, savings and transportation.
If you identify with one or more of the above myths, then make a personal decision to implement the “realities” into your thoughts. If you still have difficulties budgeting, remember this:
“If You Don’t Control Your Money, It Will Control You”
If you have any questions, would like to discuss your financial challenges, or are just looking for advice, please contact us at your convenience. As always, we are here to help you and look forward to hearing from you.