Does budgeting give you the heeby jeebies?
Don’t worry, it does for me too. Whether you’ve never started one or were so frustrated in the process, having a plan for your money isn’t a bad thing. Check out the video or read on below on what you can do.
Before looking at some of the tips to help you with budgeting, let’s talk about why many people get scared about budgeting. The most common reasons I found is that people feel like they have to deprive themselves when they’re on a budget. They think of that they have to cut back on all this stuff and they’re not willing to do that. That’s absolutely not true.
The second reason is that people feel they have to follow somebody else’s rules when it comes to budgeting. That’s not the case at all. In fact I believe you should create your own rules so much so that I actually wrote an entire book about it called The Authentic Budget.
It doesn’t matter why you’re scared about budgeting, the important thing is that you find a way to create a plan for your money, with quick wins here and there.
Do a Free Write Exercise
All you do for this (which you may have heard me mention time and time again) is to write down everything that you’re stressed about for five minutes. So for this particular one, you could talk about why you’re stressed about budgeting or anything about budget that causes you stress. Write it all down.
Five minutes later look at your list, and cross off anything that you cannot control or it’s outside of your control. For example, I used to be really really nervous about whether or not my investments would go up or down. I wanted to make sure I you know that I had a high net worth. I was really nervous about because I felt like if it wasn’t going to go up then I’d have to keep tightening my belt. That’s something I would cross out because I can’t control if my stocks go up or down.
You can also look at this list and tell yourself that God will take care of it or it’s out of your control, whatever phrase really works for you. Now if there are things that you can control then you can start making plans for those because most of the time are really stressed out because we are just afraid of the unknown.
Assess Your Values
Assessing your values is so simple, yet so many of us don’t take the time to do it. It’s really important to assess your values because you want to be spending money on things that give you a sense of purpose and joy. You want to be happy right?
The whole point of money is a tool to really enhance your life. If you’re not spending money in accordance to your values or that enhances your values you’re never going to be happy. For example, let’s say your value is health. You want to spend money to contribute to your health but you’re spending money at McDonald’s or other fast food joints. Then obviously you’re not going to feel good. You feel like you’re wasting your money. It’s going to contribute to that stress. And every time you look your food budget, you’re just going to have a nagging feeling.
Once you get clear on your values then you’ll feel pumped about making plans for your money. As long as you’re not spending beyond your means, then you’re fine. If you want to spend have your income towards food, that’s totally up to you.
There are some experts out there that tell you some percentages you should spend for each category. Those are fine as a general guidelines but if it’s going to stress you out trying to follow those, then don’t do it. They’re all too rigid for my liking and they don’t they don’t work for me and they don’t work for a lot of people that I’ve talked to. So use your values to really figure out what it is you want and how you get there.
Now if you want a really detailed exercise on how to do that click the button below for a quick start guide to assess your values.
Do Luxury on a Budget
How can you do something that doesn’t cost as much? Something that doesn’t make you feel like you’re depriving yourself. This is an especially important mindset shift to make if you’re one of those that thinks budgeting means you are depriving yourself. You really need to reframe your mindset around what it means to make a plan for your money.
Let’s say you want to cut back on clothes. Maybe you realize that that’s something you’re spending a lot on and you’re scared you’re going to resent being on a budget. If you’re cutting it out, maybe there’s some other way that you can replace the clothing habit.
Maybe go through your clothes. Maybe reframe it as my clothing money is now going towards a trip or a present for my husband. Totally reframe your mind where it feels like you’re not depriving yourself.
Is there a way to feel like you have this sense of a good quality of life without going nuts on your money? It takes a little while but I’m sure you can do it.
Again if you’re interested in figuring out your values and how that works for your budget definitely click the button below. Let me know how it goes!
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