It’s the end of the month. You settle into your favorite chair and take a moment to relax, a smile of accomplishment on your face. The bills are paid, the fridge is fully stocked, and there’s even room in the budget for a few family outings or nights out with your partner. This is what financial peace of mind looks and feels like. It may seem too good to be true to some. But it’s not as far-fetched as you might think.
It all starts with making a budget. This guide shares the tools needed to create and maintain a budget in pursuit of financial peace of mind. Each section covers a different aspect of budgeting to learn the fundamentals, bring in tools to make it easier and craft a plan that works best for your situation.
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What is a budget?
A budget is a record of your personal finances. It tracks every dollar of income and expenses over a given time period—be it daily, weekly, monthly, or quarterly. In this chapter, we provide you with the foundational knowledge you need to start building your budget.
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What to include in a budget
At the most foundational level, your budget should include your income and expenses. This chapter shows you how to take into account all money coming into your accounts. In this chapter, we’ll show you how to break these down into categories, such as fun, dining out, and living expenses.
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Managing living expenses
Here, we explore how to budget your essential expenses—the costs that keep a roof over your head, the lights on, and food on the table. Budgeting for essentials includes categorizing and efficiently accounting for the costs that keep life moving forward. Those interested in learning more about finances and how to navigate a budget and manage their living expenses while staying on top of their financial health greatly benefit from breaking down living expenses and building up budgeting skills.
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How to create a budget
Creating a budget takes some work, but it’s straightforward. Learn budgeting basics to create a systematic plan and take control of your financial health. The beauty of budgeting lies in its flexibility. There’s no one-size-fits-all approach. The right method is waiting for you, whether it involves tech-forward apps or simple spreadsheets to take your budget from concept to reality.
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Using a budget template
Creating a budget from scratch can be overwhelming. Fortunately, there are countless budgeting templates out there to help you take control of your finances. Utilize a detailed budget template that offers flexibility to track monthly expenses and organize financial goals seamlessly.
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Zero-based budgeting
Zero-based budgeting is a popular framework in which you account for every last dollar you earn. You start with your total monthly income and work backward toward zero, giving every dollar a job. Allocating every last cent to specific expense categories ensures nothing’s left unaccounted for.
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Best budget apps
If making a budget on mobile is more your speed, then the six best budgeting apps to assist with financial planning, tracking expenses, and achieving savings goals. Dive into the details of the best budgeting apps available today. What they can do for you, what they can’t, and how you can leverage that computer in your pocket to reclaim control of your financial future.
- Related: How to Budget: The basics of budgeting
- Related: Understanding budget templates
This article originally appeared on Intuit.com and was syndicated by MediaFeed.org
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