I am not a financial expert, but I am a Mom who has experience in messing up my money big time! In 5 budgeting benefits for single Moms, I want to just talk to you for a minute from my heart.
We will get into more hardcore steps of managing your money in future posts. So, don’t worry! I have you covered. But sometimes we just need to chat and understand some emotional factors that may be affecting the way we deal with our money.
5 Budgeting Benefits for Single Moms
Peace of Mind. Knowing that your bills are paid each month and savings in the bank is a great feeling. Have you ever overextended yourself in paying for a car each month, for example? Did that cause you to lose sleep at night worrying about how you were going to pay your bill? Having a budget helps you to understand your money. You know exactly where it’s going and what you may need to adjust to give yourself some breathing room. Get your peace! Take time today to create a budget if you don’t have one and start reducing expenses. You may be able to get a reduction in your cable bills, cell phone bills, car insurance, etc. You have to call and at least try. I do this on at least a yearly basis. Budgeting benefits us in having a peace of mind.
Your hard-earned money has a purpose. Going a little further in what I talked about above, each dollar you earn should have a purpose. You work hard every day. Make sure you’re getting the most out of your money. It’s easy to go shopping and spend your money. But what if you made a plan for it so you could know how much is going out and how much to save? A budget can help you with this. How will you know if you have enough money for vacation? How do you know if you have enough money to donate to an important cause dear to your heart? Assign every dollar so that it has purpose, and so you can be confident about your future. Budgeting benefits us in having a purpose for our money.
Enjoy life now. With all of that being said, you still need to enjoy your life today. I’ve learned that it’s not good to put off things that are important to us if we can help it. Yes, life can be enjoyed without spending money. However, having money to do the things that costs is freeing. Understanding your money includes knowing how much fun money you have to take a trip to an amusement park with your kids or have that spa day with your girlfriends. This is where assigning every dollar to a purpose comes in handy. You have peace of mind that your bills are covered, confidence about your financial future, and freedom in enjoying your present. Budgeting benefits us in enjoying life now.
Plan for the future. At some point, you may want to retire. We have to start saving now so our money can grow over the decades. Time is key here. Whether you are employed or own a business, saving money for retirement is crucial. Your job may offer this benefit, some with matching dollars. Always take advantage of that and those financial counseling sessions that your company may offer so you will know how the process works for you. If you are an entrepreneur, you will need to explore the options available to you. Regardless of the route you take, talking to a financial advisor is important. They understand the financial lingo and can help you make better decisions. Budgeting benefits us in planning for our future.
You also should have an emergency fund saved in a liquid savings account. This is to be used for those important expenses that are unaccounted for in your budget or in the case of job loss. Some experts may say it is only to be used in case of job loss and that we should be saving for expenses like car and home repairs. I’d love for us to do this but let’s be realistic. As a single parent, there are multiple things pulling at your money. The key is to get that savings account started and funded, and then start working on the next goal.
Not be at the mercy of others. When we understand our money, assign every dollar a purpose, and use it wisely, we don’t have to ask others for financial help. Truthfully, many people have their own responsibilities and can’t really afford to help us anyway. Having our finances in order decreases the possibility of having to ask a loved one or a friend for help. Budgeting benefits us in not being at the mercy of others.
What we need to understand: People of all income levels struggle financially if their financial house is not in order. So, it doesn’t matter if you make $30,000/year or $100,000/year, budgeting benefits us all.
Speaking from your heart, how does budgeting benefit you?
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