Why Do I Need A budget?

Budgeting is often seen as restricting or only for someone who is struggling financially. This simply is not true, even the most successful people and businesses have budgets and in fact I may even go as far as saying that a budget is a requirement for success of a person or a business in the long term. 

Budgets, in fact, should not be restrictive, instead a budget should be a guideline that allows you to align your spending with your personal values and goals. If a budget is created with your values in mind then followed properly, it will provide the fuel to achieve your goals. A budget should be created as a guideline for where you want to spend your money and your system should allow you to develop the discipline to align your spending with your values.  If you create a budget based on both your needs and values, then following that budget will lead to happiness and joy as you live your Value Driven Life. 

For those that are future oriented to the level that they sacrifice more than necessary or obsess or current spending habits, a budget can provide the freedom to set reasonable boundaries proactively and ensure that they feel calm and happy spending money in the present because they have already done the cost benefit analysis when they created the budget. This freedom knowing that you are taking care of the future while still enjoying the present can be quite calming and allow you to step away from the guilt and stress about not saving every possible penny.

A budget rooted in your personal values and goals is a tool that greatly increases the likelihood of achieving your future goals. It keeps your goals front of mind through the craziness of everyday life ensuring that you don’t mindlessly lose track of your ultimate goals. A budget is a compass to guide you to your goals even when the trail is unclear.  A budget rooted in your values also reduces resentment and reminds you why it is you make the smaller sacrifices. As you see the progress in continued improvement, giving you the motivation you need to get to your next goal and beyond.