What are the things you spend your money on? If you’re already tracking your expenses, you know where your money goes. This post is not for you.

However, if you’re someone who is not used to budgeting and tracking your expenses, this post will help you.

Knowing where exactly your money goes is necessary for improving your finances. But mind you. It’s not easy, especially if you’re starting from scratch.

With a budgeting plan, you’re can maximize your money’s purchasing potential. To make sure that each peso you spend, counts. You take control where you hard earn money goes.

Discipline and aligning your financial goals are necessary before you start budgeting or else you set yourself to fail. Before, I’ve tried to save without a goal in mind, what happened? I spend my savings as soon as I see things I like.

Knowing your Why is a must before you start saving money. Your Why will keep you on track.

What is your why?

Is it for your family? So, you could make better financial decisions and give the best you could offer.

Or maybe for your future. You now know that without savings, you will always at other people’s mercy.

Or maybe, you need to save for your dream wedding. Now, You start savings what you can save on your budget.

Now, that you think and know you’re why. Let’s proceed with how.

How to budget?

First, you’ve got to know how much money you have (your income) and how much money you spend (your expenses). List it down.

I prefer recording it with a budgeting app, for its convenience, recording your income and expenses with a smartphone in hand like you are just chatting with your friends. Easy and handy.

Who doesn’t use a smartphone nowadays? And hopefully you are not part of those who don’t.

You’re already using smartphones for playing games, surfing the net, and being active in social media.

Why not use it, as a tool to help you track your budget?

Creating a budget and monitoring your income and expenses in a budgeting app is easy.

With budgeting apps at hand, you can explore it just like a game. Estimate your possible expenses in each category and stick to it.

Accounts like an emergency fund, savings fund, pay yourself first is a must. You can transfer funds as easy as sending a message in messenger. As you record your transaction day in and day out. A week or two later you can see your progress already.

You can diversify your salary to the account of your choice.

Final note

Please commit to your budget plan and do it consistently. That is the key. Do it with discipline and consistency. Repetition is the mother of all skills.

Let’s achieve financial freedom, one step at a time.

If you think budgeting will work wonders for you, check out my own budgeting strategy here.

How you will know if you are doing better? Compare yourself to the last year you. Do you have more blessings now than last year?

I hope you do 😊

Till next time.

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