Practical Tips for Sticking to a Budget

Although many of us do our best to stick to monthly budgets, this seemingly-simple task is often easier said than done. Because of impulse buys, unforeseen expenses and assorted indulgences, there’s little wonder as to why people consistently go over-budget. While sticking to a budget can be difficult, it’s far from impossible. As is the case with many things in life, practice makes perfect. The longer you engage in responsible budgeting, the easier it will become. If your budgeting skills could use a little polishing, the following tips are sure to come in handy.

Learn to Have Fun at Home

Frequent nights out are among the most common ways young adults burn through their money. While hitting the town with friends can certainly be a good time, it can eat away at your savings if done with enough regularity. So if nights out have made a dent in your personal finances, you’d be well-served by learning to have fun at home. This will provide you with more time to indulge in your favorite hobbies and catch up with your media backlog. Furthermore, this doesn’t mean you’ll never get to see your friends. Instead of hanging out at pricey locales, you can invite your crew over for casual gatherings, game nights and other low-key events. To ensure that you’re able to earn ample interest on all the money you’ll save, take care to open a high yield checking account.

Abstain from Using Credit Cards Whenever Possible

In certain hands, credit cards can be debt magnets. While a good credit card can be a lifesaver in an emergency situation, using one for everyday purposes can adversely impact your finances. With this in mind, make a point of using cash, checks or bank cards for things like groceries, gas and the occasional meal out. Once your on-hand cash is gone, you’ll have no more money to spend, thus preventing you from going over-budget. Buying now and paying later can certainly be tempting, but this approach can come back to haunt you in a big way.

Plan Your Meals

Dining out on a regular basis can cost hundreds of dollars per month. This is particularly true for people who never bring their own lunch to work. Fortunately, you can eat your fill without making a dent in your finances by planning your meals. At the beginning of every week, plot out what each meal will be and acquire the appropriate ingredients. Although this involves more work than going to restaurants, the money you stand to save should prove well worth your efforts.

For many Americans, budgeting is an uphill battle. While it’s impossible to predict every nexpected expense you’ll be faced with in a given month, a solid budget can prove invaluable in keeping your savings intact. On the flipside, the absence of a budget is highly conducive to mounting debt and financial insecurity. If you’ve never before adhered to a budget, doing so for the first time is liable to present a challenge. However, after sticking with it for a few months, responsible budgeting will seem like second nature.

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