Do you wish you were better at saving money?
Building a budget to monitor, track and compare your spending habits is a great way to save for the future. By understanding the trends behind your spending, it will be easier to cut out unnecessary expenses and save more money.
If you already have some cash saved and are looking for the best savings accounts, use Fiona!
If you need help getting started on your budget—don’t worry—the Fiona staff is here to help!
Below we outlined some key steps to making a budget.
Once you’re ready to start saving money monthly, use Fiona below to get matched with the best account for your needs!
Calculate Expenses and Income
First, break down all of your monthly expenses and compare it to your monthly income.
Doing this will help you build a clearer picture of how your family spends / saves:
A) Planned Expenses
Include things like: rent, utilities, streaming services subscriptions, groceries, restaurants, pet care costs, shopping, childcare, travel, entertainment, etc.
B) Unexpected Expenses
Such as: car maintenance, healthcare costs, home maintenance & repair
Examples: regular paychecks, income from rental property, income from second job
Calculating your expenses vs. income can be tricky for novice budgeters. Luckily, there are even some apps like ClarityMoney that will put your finances all together in one easy place, allowing you to visually understand how you’re currently spending (including your monthly subscriptions, some of which you may have forgotten about!)
Set Savings and Debt Goals
After comparing your income to your expenses, you’ll have a clearer view of what funds you’ll have at the end of the month and then it’ll be time to decide where any extra cash should go. If you find yourself constantly low on cash, studying your expenses and eliminating unnecessary spending might be the best route for you! Consistency and habitual savings, combined with debt repayment are great ways to achieve financial success.
Record and Refine
Hold yourself accountable by ensuring you’re spending in a conscious and strategic way—if your budget doesn’t add up and you find yourself without funds or unable to make savings, it’s time to refine your budget to help make things more manageable. Making a budget is not about setting anything in stone, it’s about watching and understanding how money flows in and out of your accounts, so you know exactly where your hard-earned cash goes.
There are many ways to get yourself into better financial shape—but they all require the same thing: commitment. You have to commit to setting goals and trying your best to stick to them. Most importantly, you have to commit to studying past trends to best be prepared for the future. Once you’re seeing some extra money left in your account from month to month, you can get matched with savings account where you can tuck that money away and start letting it grow!