Using a budget will give you financial perspective.

You’re in that moment.

You’re at a store and you see something you want. You start running numbers in your head. Can you afford it? If you get it, will you still have enough left for that upcoming bill? Will you have to put off that trip you’ve wanted to take for another month?

To buy, or not to buy?

When you’re staring at that price tag, it can feel like you’re in a maze and the hallway you’re looking down only turns left and right. You can’t see around the corners, the consequences aren’t clear, and you’re not really sure which way to turn.

Photo by: edlimphoto

• Will you run into trouble? (It will eat into your Needs.
• Will you hit a dead end and have to backtrack? (Delay the purchase of something you value more.)
• Or is it perfectly okay to buy it right now? (Green-light to the exit!)

Want to cheat?

Your budget gives you part of the map, so instead of your in-the-moment perspective you get a top-down-view of the maze.

Photo by: kelp1966

Glance at your budget before you go shopping and you’ll always have a solid number in your mind of what you can and can’t afford.

With this top-down-view you’ll know if it leads to trouble, a dead end, or an exit.

The maze is always changing. Fortunately, it only takes about 3 minutes a week to update your map.

Think about your paycheck. Ignore taxes (etc) for a second and just focus on what you bring home.

Let’s call that your 100%.

There are hundreds of thousands of highly paid, highly intelligent, and highly trained individuals out there whose sole purpose is to help you maximize what you do with about 5% to 10% of your income: your savings. They help you save it and help you invest it. They know lots of fancy financial things and use lots of fancy financial words, so you don’t have to. They’re great and your savings should be getting a lot of attention.

So what about the other 95% of your income – the 95% that you work with every day of your life? The 95% that you take to the grocery store, and pay the rent with, and take your family out to eat with?

How much attention is it getting?

Your 95%

That 95% is one of the most important and most influential aspects of your life. It’s a huge factor in your lifestyle, your relationships, and your options. Of course, it does not define you – but big or small your 95% deserves your attention and care just like your other 5%.

That is why WithinMeans is about budgeting.

Budgeting puts into your hands a simple tool to help you manage your 95% and make sure you’re using it to make you as happy as possible. And you don’t need a finance degree to budget your money well, just a basic understanding. You can keep it simple and easy, and see life changing results.

What are you doing with your 95%?