Well, I’m back from vacation.

Trips always do interesting things with my budget. I seem to be completely incapable of anticipating how much they’ll end up costing in the end.

Sometimes I over-budget and then feel great about spending less than I thought; often I spend more than I’d hoped.

Never am I right on.

Fortunately, budgeting isn’t about being perfect, it’s about being persistent.

Like lots of other things, budgeting gets better (and easier) the more you do it. But that doesn’t mean you’re immune from “Wacky Months.”

And when you have a Wacky Month, with trips or unexpected costs (or just flat out bad planning), you don’t need to stress too much because next month you’ll start a new budget and try again.

You’ll do better next month, and even better the month after that.Similar Posts:

• Your savings are important, but so is the rest of your money.
• Budgeting your paycheck gets easier every month

Photo from: ffffound

When you build your own budget, it can be as simple or as complicated as you want.

The more categories you add, the more control you’ll take, and the more information you’ll have to make better decisions in the future. Having more categories also makes it easier to find leaks in your paychecks.

It doesn’t take long to find your own comfort zone once you start.

So, how simple can you make a budget?

The ultimate purpose of starting and following a budget is to help you live two main principles: Live Within Your Means, and put your Needs Before Wants.

The simplest budget plans can be as simple as three categories:

Needs, Savings, and Wants.

Savings (even a little) will help you live within your means – and funding your Needs first makes sure you won’t get into trouble. And Wants are important too, just not as important.

Everything else is just fine tuning your unique personal budget to your unique life.Similar Posts:

• How To Turn Emergencies Into Inconveniences

Photo by: iwona kellie

Is there something you want?

Are your needs being met first?

How much does it cost?

How long would you be willing to save up for it?

Could you pick a specific date as a goal?

How much would you have to set aside every month to have that much by then?

Can you afford that amount? (If not, could you extend your goal date?)

Where would that money come from?

Is there something you value less than your goal that you’re currently spending money on?

It could come from that.

Make it a category on your budget and set that money aside every month.

Prioritize it on your budget between something you value less, and something you value more.

(Crazy idea, I know.)

Stick with it, and it will be yours.

No guilt, no debt.Similar Posts:

• Your budget is a goal setting tool

Photo by: silent-shot

It rained all last week here in the AZ, and the wife and I passed our fair share of accidents on the road.

Coming from a slightly wetter climate than my wife, these sightings often lead to short conversations between us about driving habits between different states.

The thought I always seem to return to is that when roads are wet they play a trick on you.

Most of the time you feel just as in control as you are on a dry road, and most of the time you might be. But it only takes one awkward puddle, or slick spot, or glare (or another bad driver) to take that control away. And on a freeway that’s all it takes.

The best thing, as most people know,  is to simply give yourself a reasonable buffer between you and other cars.

Some months, for my family,  it’s tempting to live right at our means, or even beyond – but it’s just like hugging a car on the freeway. Most of the time we’ll get through the month just fine, but it only takes one instance of “life” to take that control away.

Try to live within your means and give yourself a bit of a buffer. The more you save each month, the safer you’re driving. You may run into heart pounding situations (that may leave you using colorful language), but you just might have enough room to avoid an emergency.Similar Posts:

Photo by: emdot

WithinMeans dot com is getting older every week.

Today I wanted to re-visit three of my favorite posts so far:

1. My favorite post: A Strong Budgeting Foundation

When I was done with this post, I almost felt like everything had come together on its own.

The picture, the idea, the structure – it all seemed to say exactly what I was excited about that week.

2. Most proud of: A New Perspective on Budgeting

Is it possible to be proud of a post about how I need to be more humble? Seems like that would negate the whole concept.

3. Highest hits: Burn!

Not sure if I should be proud of this or not.

—

Thanks again for all of your readership, subscriber-ship, comments, and budgeting efforts!Similar Posts:

• Make purchasing decisions easier by following a budget
• Budgeting your paycheck gets easier every month

Photo by: worldislandinfo

My thoughts have hovered around “planning” lately.

Maybe it’s the new year.

It’s incredible the difference a little planning can make in almost anything.

A budget is simply a way to plan what you’re going to spend your 95% on.

When we don’t plan where our money will go, it might go towards our wants before our needs.

We might even spend more than we earn.

When we fail to plan where our paychecks go, they tend to leak out into less important, or irrelevant things.

Budget’s don’t have to be perfect to make incredible improvements in your life – the simplest budget plans are infinitely better than not having any at all. When you learn how to start a budget plan, and stick to it, you set yourself up for a lot more success down the road.

—

PS – A huge round of applause for those of  you who signed up for the January 2010 Challenge. I have been quite inspired by how many have signed up.

I hope you’ll email me when the month is over to tell me how you did!

And it’s not too late to start your own first month of budgeting. Just sign up for the emails in the sidebar to the right. It’s wicked easy.Similar Posts:

• Your savings are important, but so is the rest of your money.

Photo by: wwworks

I saw the movie Titanic for the first time last year.

I made it through the whole thing with the help of a Rifftrax.

Back when the film first came out I remember reading somewhere that James Cameron had an interesting problem. He had tons of extras, and he had tons of “panic” scenes. The problem emerged when he’d direct everyone to “panic” and once they said “action!” all the extras would run around screaming and wildly waving their arms.

Needless to say, it wasn’t very realistic.

Eventually they came up with a numbering system. They defined what a level 1 panic scene is (mildly concerned) up to level 5 (the previously mentioned screaming and arm waving).

Over Christmas break, someone asked me “How much am I supposed to budget for groceries?” I couldn’t give her a solid number, or even a percentage of her income. Everyone’s situation is too different, and I’m no James Cameron. Giving her an amount wouldn’t be very realistic either.

Everyone should match their budgets to their own situations.You need to find your own “level.”

Sometimes this takes a few months of budgeting to really feel out how much your comfortable with, how much you can afford, and how much makes you happiest in each category. Your first month of budgeting might not be very realistic. Fortunately, you don’t have a release date and your budget can take all the time it needs to find it’s sweet spot.

Unfortunately, few of us can enjoy a budget like Titanic’s.Similar Posts:

• Your savings are important, but so is the rest of your money.

Photo by: doug88888

One month of budgeting!

I hope that a lot of people will be setting goals for 2010 that revolve around starting a budget, staying on a budget, and using their budget more.

My challenge for you is to start and stay on a budget for the month of January.

If you can do that, you’ll know you can keep it up for the rest of the year.

I like to think that the free One Month of Budgeting emails I give away make a difference to those who sign up for them. I always get a little excited to see when someone’s signed up because it means someone was willing to take at least one step towards getting their 95% in order.

If you’re willing to try out the challenge just fill out the form below (or on the sidebar to the right) and your inbox will get one email a week reminding you to update your budget, as well as listing a few tips for getting the most out of the experience. After your sixth email you can continue budgeting on your own, or sign up again if you enjoy getting the reminders.

*Edit – January has ended, but the One Month of Budgeting emails are always available – and this form still works if you want to sign up here.

If you’re reading this in a reader, you can click through here to see the form.Similar Posts:

• Keep your budget in front of you

Photo by: notsogoodphotography

Contrary to popular belief, I’m not very passionate about budgets.

Budgets are kinda boring.

Ok, they’re very boring.

I am, however, passionate about the benefits of budgeting.

• I love showing people how to be in control of one of the most influential factors of their lives.
• I like sharing how to stop wasting money on things you don’t value.
• It’s impressive to me when somebody knows their 95% enough to say ‘no’ to something they can’t afford.
• I get excited about someone buying something they really want, and knowing they can afford it without credit.
• I love the idea of parents falling asleep knowing their family’s needs are met this month.
• It’s exciting to think that people are using their budget to put a little away every month.

And it’s fun to write, and post, and hope it makes a difference.Similar Posts:

Photo by: perfectoinsecto

I can tend to be a bit forgetful sometimes.

Actually, a better description would be absent-minded.

Add that deficiency to the fact that life never seems to stop (or even slow down), and it’s not uncommon for me to miss a few important things from month to month. Thank goodness we actively budget.

When I build each monthly budget I use two things to make sure the important things are taken care of: the fact that my attention is on our 95%, and the fact that I’m in my online banking.

It’s the perfect chance for me to stop by the “bill-pay” section of my online banking and send off as many bills as I can with that tool. I also let my wife know when a new budget is up, and she uses the opportunity to schedule the bills she manages.

It’s more evidence to me that spending 10 minutes a month building a new budget, and 3 minutes a week updating it, actually decreases the time and energy I spend keeping our 95% in order, and making good money decisions.Similar Posts:

• Adjusting your budget to match your spending