Many people feel like there is never enough money. After paying bills and necessary expenses, there is often times no money for education, savings or an emergency fund. A budget is a way of tracking what you spend, deciding what needs to be paid and figuring out where you can cut back. As soon as you begin your budget, you will soon be able to find out if your money is being spent on things you truly need or just on things that you want. There are many areas included within a budget that you can but back.
Housing If you are living in a home that is beyond your means, it is time for a change. Options may include refinancing, finding a less expensive place, or finding a roommate.
Utilities Utilities such as gas, electric and water are all necessary, but can be better managed. Other utilities that are elective such as cable, internet and phone can either be disconnected to switched to a less expensive service.
Transportation Make sure you are driving a vehicle you can afford, including the payment, insurance and gas. If the car is too expensive trade it in or sell it for something you can afford. Carpooling is even an often for many people
Food Eating out is not a necessity, but nice sometimes. Eating out less will cut a budget drastically. If you work, take your lunch. Shop grocery stores that offer specials and cut coupons to save money.
Clothing Everyone needs clothing but this does not mean you need the most expensive. There are many second-hand and thrift stores that provide clothing at marked down prices. Clothing can also be passed on from one child to the next.
Healthcare Costs of healthcare continue to rise, but can also be managed. When you are filling prescriptions, ask for generic drugs. Ask a doctor for a discount when you are paying in cash. Always review doctor and hospital bills for accuracy.
Insurance Whether buying car or health insurance, it is important to shop around to get the best possible rates. Ask the agent for all the discounts that you qualify for, including low mileage, multiple car and good driver.
Saving money can be achieved by creating and sticking to a budget. You are able to decide what money needs to be spent and where you can cut back.