Worthwhile Benefits from Living on a Budget

Posted by Don on September 27, 2016

When you think about your budget or even hear people talk about budgets, you probably cringe. This is because many of us think of budgeting as boring and a way to limit or restrict our spending.

Making and following a budget is actually a good thing. I will show you that there are many benefits from living on a budget.

benefits from living on a budget

(Photo Credit: stevepb)

Worthwhile Benefits from Living on a Budget

Do you have a budget? If you do then you already know the benefits from living on a budget. If not, here’s what you are missing.

Less Stress

Do you dread opening the mailbox for fear of a bill you know you don’t have the money for? Or maybe your fear is that you just don’t know how big the credit card balance is now. These are symptoms of not following a budget.

When you follow a budget, you rid your life of this stress. You know what you spent over the past month, so the bills that come in the mail won’t be a surprise any longer. Just think of how nice it would be to not have this stress in your life any longer!

Read More: 13 Free Ways to Reduce Stress

Easier Decision Making

Do you find yourself at a store wondering if you can afford something you like? Or maybe you aren’t sure if you should buy the item because you just aren’t certain how money will play out this month? These too are classic signs of not following a budget.

But when you do have a budget in place, your decisions are already made for you. You know what you can and cannot afford for the month. Instead of standing in the store for 20 minutes agonizing over whether or not you can or should buy something, you know going in and you won’t have to stand there trying to make a decision.

Read More: How to Figure Out Whether Or Not You Can Afford It

Start Achieving Your Financial Goals

You know how you always say you want to get rid of the credit card debt you are in or how you want to finally start saving some money but you never get around to it?

Putting a budget in place lets you finally start taking the steps to reaching your goal of being debt free. Having a budget allows you to start saving for retirement or a rainy day. You will have an amount of money assigned to paying off debt or savings so you will be guaranteed to make progress in these areas.

Read More: How to Improve Your Finances When You Don’t Know Where to Start

Freedom to Change

Many people fear making a budget because they think that once they assign money to one category, it is set in stone and cannot be changed. But this isn’t the case. You have the freedom to change. If you find you are allocating too little to groceries, you can adjust your budget in the coming month to reflect this. If you find you have allocated too much to dining out, you can adjust your budget.

Now, I wouldn’t just go changing things on the fly here. I would give it a few months to make sure that one month of overspending or underspending isn’t just an anomaly but is the norm.

Read More: Skip These Expenses to Cut Your Spending

Improved Financial Life

When you begin to budget, you will improve your financial life in the sense that you will be a smarter spender of your money. But the benefits to your finances don’t end there. You will find that since you are budgeting, you will become a smarter shopper. You won’t simply buy a new car because you feel like it. You will think about it and take into account your budget.

Doing this will save you loads of money down the road from wasted spending. Budgeting will also help you save more money because you will get excited to see your balances grow over time. You may even start taking an interest in the stock market to grow your money at a better rate than with a savings account.

In essence, budgeting is like the debt snowball method for improving your finances. It will start out slow, but over time, you will see bigger and better changes to your finances.

Read More: 5 Ways to Make Your Money Work Smarter, Not Harder

Final Thoughts

Take the time to create and follow a budget. As you can see, there are many benefits from living on a budget. I know that budgeting isn’t sexy, but it works. If you would be willing to sit down and give it a try, you will find that it’s not that bad, and in many cases, actually enjoyable.

So find a budget template that works for you and start budgeting. Your future self will be thankful that you did and you current self will be thankful as well.

More on Budgeting

Discover it $100 Sign Up Bonus & 10% Cashback

Posted by Madison on September 23, 2016

Now that the holiday 4th Quarter 5% cashback offers are posted, it’s time to start planning our spending. Discover is once again featuring 5% cashback at Amazon and department stores during 4th quarter. With their Cashback Match program, you can earn double cash back, or 10% cashback during the holidays! My last year with Discover […]

Continue reading…

New 4th Quarter 2016 5% Rotating Cash Rewards Credit Cards

Posted by Madison on September 21, 2016

4th quarter cash back is here! I can’t believe it’s already time to begin planning our 4th quarter. It’s time to organize, activate and put your cards into a regular rotation. Reevaluate Quarterly Cash Rewards It’s our quarterly check-in to reevaluate the cards we are carrying to take advantage of the best 4th quarter 2016 […]

Continue reading…

22 Ways to Eliminate Financial Clutter

Posted by Madison on September 19, 2016

My brain and my workspace are very cluttered. I tell myself this is an acceptable behavior for someone who is juggling multiple businesses and taking advantage of great financial opportunities. But in reality, I may just be messy and scatterbrained. Some distinct areas are very organized, like tracking my credit card application sprees, however, other […]

Continue reading…

Barclaycard Arrival Plus $525+ Sign Up Bonus

Posted by Madison on September 16, 2016

The Barclaycard Arrival Plus card just increased their sign up bonus to 50,000 miles! You can redeem the miles for a $500 statement credit. You’ll get an extra bonus on the travel redemption, so it’s really a $525+ offer! The 50,000 mile sign up bonus is for a limited time; normally the sign up bonus […]

Continue reading…

Financial Checklist to Complete after Getting Married

Posted by Don on September 15, 2016

Getting married is a great time in your life. Not only are you committing to the one you love, but you also get to celebrate with close friends and family. While you are busy with your vows and planning everything, don’t forget about your finances. Financial Checklist for after the Wedding No, this isn’t about […]

Continue reading…

Studying abroad can allow you to see the world and create memories that will last a lifetime. But there are also drawbacks to consider before you head out as well. Many feel that you can’t put a price tag on the amazing life experience you’ll get from studying abroad. But you can. Depending on the […]

Continue reading…

Amazon $10 Promo Code with a $50 Gift Card Purchase

Posted by Madison on September 9, 2016

It’s back again this month! Amazon is giving out $10 promo codes again when you buy an Amazon Gift Card for someone. Like most Amazon offers, it is targeted, so you’ll have to see if you qualify first: Amazon Gift Card offer. If you do, it’s an easy way to earn a free $10 if […]

Continue reading…

What is Cancer Insurance?

Posted by Amanda on September 7, 2016

A few years ago a company selling cancer insurance came to our place of work. They advertised free consultations around the office, flyers, handouts when we came through the door, an email and what clinched the deal were the free donuts they were giving away to anyone who showed up. Okay, the free donuts and […]

Continue reading…

Fidelity $100 Spending Bonus for Existing Cardholders

Posted by Madison on September 2, 2016

Fidelity is sweetening the deal for you to start using your recently converted Fidelity Rewards 2% Cash Back Credit Card. After the switch from American Express to Elan this summer, they just sent out mailers reminding you to activate your card. Open it! I almost threw it away since it just looks like a reminder […]

Continue reading…