Here are more great words of wisdom on budgeting by Marvin J. Ashton:
Some claim that living within a budget takes the fun out of life and is too restrictive. But those who avoid the inconvenience of a budget must suffer the pains of living outside of it. The Church operates within a budget. Successful business functions within a budget. Families free of crushing debt have a budget. Budgeting guidelines encourage better performance and management. (emphasis added, Marvin J. Ashton, "It's No Fun Being Poor," Ensign, September 1982, 72.)
Showing posts with label Budget. Show all posts
Showing posts with label Budget. Show all posts
12.4.10
30.3.10
Clippin' Coupons
Do you clip coupons? Coupons are a great way to lower your grocery bill every week - you'd be surprised how the savings add up throughout the course of a year.
If you're like me, you clip coupons with every intention of using them, then you forget to take them with you to the store, lose them, or don't feel like sorting through the stack.
Here's a great way to organize your coupons.
Find a binder and some business card or trading card sheet protectors. Then, as you clip your coupons, slid them into the slots so you can see the product. I like this method because you can take the binder with you to the grocery store, then easily take a quick glance through it to find the coupon you need. You might even want to highlight the expiration date so you don't forget to use it in time. You could also get some binder tabs to keep them better organized.
Happy clipping!
If you're like me, you clip coupons with every intention of using them, then you forget to take them with you to the store, lose them, or don't feel like sorting through the stack.
Here's a great way to organize your coupons.
Find a binder and some business card or trading card sheet protectors. Then, as you clip your coupons, slid them into the slots so you can see the product. I like this method because you can take the binder with you to the grocery store, then easily take a quick glance through it to find the coupon you need. You might even want to highlight the expiration date so you don't forget to use it in time. You could also get some binder tabs to keep them better organized.
Happy clipping!
18.2.10
How To Save $6,282 in a year!
How can I cut back on spending? The small things add up quickly! Here are some ideas I shared with some BYU students:
Plan meals before going grocery shopping – save $260 (by not wasting $5 of food a week)!
Bake homemade bread – save $104 a year ($2 a week)!
Walk to school – save $360 ($30 a month) a year!
Wait for movies to come to the Dollar Theater or Redbox--if you see two movies a month, you save $228 a year!
Go jogging and/or use BYU’s workout facilities (free!) instead of gym memberships – save $840 (for two memberships at $35 a month)
Cook dinner together as a date instead of going out to eat -- save $780 a year ($15 a week)!
Organize coupons in business card sheet protectors in a binder. Take binder with you on shopping trips. – save $260 a year ($5 a week)!
Be conscious about utility usage. Reducing your bill by $10 saves $120 a year!
Replace tap water with a $1 bottled water, juice, or soda (or buy a Brita filter) – save $730 each year!
Pack a lunch (for $1) instead of going for fast food (for $6 per person) – save $2600 a year!
Search Craigslist.org or DI for gently used items such as sporting goods, vehicles, furniture, baby stuff
Shop consignment (Plato’s closet)
For more ways to save, go through your spending habits line by line and look for any way you can make adjustments.
13.2.10
Build A Better Budget : Part 3
I just realized that I forgot about a very important part of creating your budget--the structure!
1st -- Pay the Lord. 10%
2nd -- Pay yourself (personal goals). 15-20% is recommended. We'll talk more about this later.
3rd -- Pay others (expenses).
4th -- Apply leftovers to your personal goals.
If you can learn to use this structure, you are twice as likely to be able to accomplish your goals because you get two chances to put your money towards those goals. Many people set up a budget like this:
Income - Pay the Lord - Pay others - Pay yourself if there's anything left over.
Can you see what's wrong with this method? If you ALWAYS pay yourself before you pay others, you are guaranteed to meet your personal goals eventually. If you pay others first, you likely won't have anything left for yourself. If you're still skeptical, here's what L. Tom Perry had to say about this:
"After paying your tithing of 10 percent to the Lord, you pay yourself a predetermined amount directly into savings. That leaves you will a balance of your income to budget for taxes, food, clothing, shelter, transportation, etc. It is amazing to me that so many people work all of their lives for the grocer, the landlord, the power company, the automobile salesman, and the bank, and yet think so little of their own efforts that they pay themselves nothing."
CHALLENGE: Always pay yourself 20%.
1st -- Pay the Lord. 10%
2nd -- Pay yourself (personal goals). 15-20% is recommended. We'll talk more about this later.
3rd -- Pay others (expenses).
4th -- Apply leftovers to your personal goals.
If you can learn to use this structure, you are twice as likely to be able to accomplish your goals because you get two chances to put your money towards those goals. Many people set up a budget like this:
Income - Pay the Lord - Pay others - Pay yourself if there's anything left over.
Can you see what's wrong with this method? If you ALWAYS pay yourself before you pay others, you are guaranteed to meet your personal goals eventually. If you pay others first, you likely won't have anything left for yourself. If you're still skeptical, here's what L. Tom Perry had to say about this:
"After paying your tithing of 10 percent to the Lord, you pay yourself a predetermined amount directly into savings. That leaves you will a balance of your income to budget for taxes, food, clothing, shelter, transportation, etc. It is amazing to me that so many people work all of their lives for the grocer, the landlord, the power company, the automobile salesman, and the bank, and yet think so little of their own efforts that they pay themselves nothing."
CHALLENGE: Always pay yourself 20%.
5.2.10
Build A Better Budget: Part 2
Now that you've tracked your spending, it's time to write your budget.
CHALLENGE: Write your budget and stick to it for a month.
Keep these guidelines in mind:
1. Look at what you spent last month as a guide for this month's planning.
2. Distinguish between needs and wants (discretionary spending).
3. For the first month, it might be easier not to alter your spending too much from last month -- this could frustrate you into completely abandoning your budget if you fail to meet your new spending limits.
4. As you meet with your spouse each week to review your finances, make sure that your spending for the week has been consistent with your budget.
Following a budget can be a life-improving habit for anyone! But like any habit, budgeting takes time to be habit-forming. Don't be hard on yourself if you find that you grossly underestimated expenses in a few categories.You'll find yourself improving each month.
Like I've said before, if you can follow a budget, you are much more likely to get what you REALLY want most.
CHALLENGE: Write your budget and stick to it for a month.
Keep these guidelines in mind:
1. Look at what you spent last month as a guide for this month's planning.
2. Distinguish between needs and wants (discretionary spending).
3. For the first month, it might be easier not to alter your spending too much from last month -- this could frustrate you into completely abandoning your budget if you fail to meet your new spending limits.
4. As you meet with your spouse each week to review your finances, make sure that your spending for the week has been consistent with your budget.
Following a budget can be a life-improving habit for anyone! But like any habit, budgeting takes time to be habit-forming. Don't be hard on yourself if you find that you grossly underestimated expenses in a few categories.You'll find yourself improving each month.
Like I've said before, if you can follow a budget, you are much more likely to get what you REALLY want most.
12.1.10
Build A Better Budget: Part 1
Spencer W. Kimball: "EVERY family should have a budget."
I'd say his advice would be good to follow, wouldn't you?
Starting a budget can seem daunting, but it need not be. Here's how to get yourself started.
CHALLENGE: Track your expenses for a month.
You need to know where all your money is going. I think the best way to do this is to use a credit card for ALL my transactions. That way, you can see EVERY transaction online or in your statement. I also like to use Quicken because you can automatically download all your transactions directly from the web, then categorize each transaction. At the end of the month, Quicken will give you a report of the total you spent in each category. Another good program is Money.
The problem with using cash is that you have to keep track of receipts. Also, paying in cash or check is becoming less practical in our world of online payments, automatic bill-pay, etc.
Come February, I'll help you start creating your budget. Good luck!
11.1.10
Christmas Sticker Shock?
First Post!
As we just finished the whirlwind of Christmas, New Year's, traveling, treats, and family functions, let's take a step back and look at what the effect of all that had on our finances.
Did you spend over your budget on Christmas gifts? (I did!)
Did your travels break the bank?
Did you spend more than your usually grocery bill?
The holiday season doesn't need to result in a crash-and-burn for your budget.
Try this: Calculate how much you spent during the past month or two that are unique to the holiday season. Divide that by twelve. The amount you get is how much extra you should save each month toward Christmas. (But be sure you stay within your holiday budget when Christmas rolls around next year!) If you do this, your bank balance on January 1st won't be such a shocker.
I hope this blog is helpful for you. Be sure to leave comments with questions or suggestions!
As we just finished the whirlwind of Christmas, New Year's, traveling, treats, and family functions, let's take a step back and look at what the effect of all that had on our finances.
Did you spend over your budget on Christmas gifts? (I did!)
Did your travels break the bank?
Did you spend more than your usually grocery bill?
The holiday season doesn't need to result in a crash-and-burn for your budget.
Try this: Calculate how much you spent during the past month or two that are unique to the holiday season. Divide that by twelve. The amount you get is how much extra you should save each month toward Christmas. (But be sure you stay within your holiday budget when Christmas rolls around next year!) If you do this, your bank balance on January 1st won't be such a shocker.
I hope this blog is helpful for you. Be sure to leave comments with questions or suggestions!
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