THE REAL WAY TO BUDGET YOUR MONEY

 

Budget, the dreaded b-word (may be not to you, but to some people) making and sticking to budget is tedious work, it’s tedious because it requires two things: mental strength and self-control. (In a preceding article I gave what I believe are the benefits of self-control).

Why does making and sticking to a budget require mental strength and self-control? I think that, Budgeting requires knowing little about numbers, as well as trying to think into the future. These require mental strength. Budgeting also, requires controlling the natural physiological desires. This natural physiological desires to eat, sleep, attraction to what I see and to procreate, hmm….. These desires don’t come with and off and on buttons, the only way to on and off my desires is the mind, using the mind to initiate self-control. Because basically it’s easy to write a budget, I can  arrange my spending to the last penny, but will the natural desires I have allow a me to follow and stick to my  budget when I live in a “ world of stuff beckons” every product is attractive,  aimed at making me spend, spend. (I admit that, this is difficult for me to do).

In the book multiple streams of income by Robert Allen the 2^nd edition (if you wish to get your financial life organized read that book, the information there is priceless) Allen outlines seven financial secrets, the second secret-to control money. He gives a simple principle, a simple shift in perspective- thinking of your cash flow (money coming to you) as streams and the money you spend as leaks. Controlling this streams and leaks is the essence of your personal financial organization.

A budget can help you become financially free, but a real budget is the level of self-control you have and ability of your mind to keep track of your spending. This may sound stressful, and many may decide to just go with the flow, making a lot excuses, like, I don’t have a head for math’s, my spouse takes care of that stuff, none of my friends do it (too bad for them). I think that, excuses will only help increase debt, I mean bad debt. There are people who will be deep in debt for years, and being in debt leaves a bad taste in the mouth.

thank you for reading this article.