How to find a Realistic Budget

Ok a month ago I told you all how cutting direct deposit saved me thousands of dollars. Which is amazing!

However, it means nothing if when I finally cash in, I spend two weeks’ earnings in a couple hours. As if I'm trying to make up for not spending. I can seriously spend $500 in one day of 'outings'.

Here are my three steps to establishing a REALISTIC budget.

1. Awareness... Once you notice you are spending too much or not saving enough (same thing). Don't change your routine. Just keep your receipts & keep a spending journal for a week.

2. Now, it's time to dive in! See what your weaknesses are. What days and times of the day you spend the most money.

3. Strategize! This step will have to be tailored according to your habits.

For me! My weakness is food (take out & home cook)... I can talk myself out of a pair of shoes or splurging on a bag. However, a LARGE pizza or the boil? Mood…I'm doing it!

I spend $20-$40 a night on takeout because I work all day &/or late nights. Mostly because I fail to prepare a meal before heading to work and because I get off so late I am forced to order pizza or something fast but a little expensive.

I also throw everything out of my refrigerator after one or two days, hardly reheat leftovers and cook too much food for a party of two.

Strategy:

-$20 a day for one week. Total budget $140.

-Monday food shopping & meal prep for the week.

-Use the same ingredients in several meals throughout the week!

I'll keep you posted on how this works for me. Tell me how these strategies work for you.

~Lucky

#finances #budget #save