Sticking to a Budget: A Path to Economic Security

Rebecca Matthes, Guest Blogger

Anyone who has taken the time to write out a budget knows how difficult it can be to stick with it.  Although things look good on paper, implementing your plan doesn’t always work out.  Have you ever asked how someone can really stay focused and stay on track?  Women’s Finance points out 10 problem areas in your budget that could help explain why it’s so difficult to stick to the game plan.   For example, take “fixed” expenses like rent or mortgage.  These expenses are only fixed because you pay them every month.  The amount you pay, however, is not fixed thereby modifying your budget from time to time. Or consider shopping for clothing.  That’s a tough one because this can sometimes be a spontaneous event.   But by planning ahead, making a list of what you need and sticking to that list, you won’t come out of the experience wondering how you’re going to pay the utility bill.  Yikes!  Something else that can help too is remembering what you already have in your closet.  You may decide after some thought that you don’t really need another blouse or pair of jeans.  Another problem area mentioned is transportation.  It’s recommended that you take a hard look at your transportation costs and try to set up a budget for them.  Then look at other ways that will help you stay in line with that budget like taking good care of your car to reduce any unwanted expenses and riding your bike when traveling short distances. 

Another interesting point of view about how to stick with your game plan is based around three major causes of budget failure.  According to Jeremy Vohwinkle, a financial planner and retirement planning specialist, having a negative attitude, lack of motivation and unrealistic expectations are the biggest reasons people don’t succeed.  Having a positive attitude to budgeting is important to your success.  Looking at a budget as a way of achieving your dreams and goals while holding out on spending all your money at once will prove to be best in the long run.  And by honestly believing that can be used as a motivator.  Be as realistic as possible and try not to expect miracles.  Understand that if you stick out your budget you will eventually come out ahead.