Yep, I just said the B-word. And maybe you should, too. According to a 2013 Gallup poll, nearly 67% of Americans do not have a detailed budget.
So I’m not surprised Forbes reported last June that 63% of Americans do not have enough cash on-hand to pay for a $500 emergency. $500 is a considerable chunk of cash, but a $500 emergency can easily pop up. Did you blow a tire? Well, of course, you should always replace them in pairs. Poof. You are in debt (or getting in great shape as you ride your bike all over town), and your $500 credit card swipe becomes $600 or more after interest. These statistics say that “normal” means being broke.
Have you ever looked at your bank account and thought, What happened to all of my money? Do you know what it feels like to have the cashier inform you that your debit or credit card was declined? Maybe you’re tired of juggling bills, trying to keep the lights from being turned off. I’m here to tell you that there is a better way, and you can live it! All it takes is a little planning and learning how to control yourself.
Someone smart once said, “Money flows from the careless to the conscientious.”
I’m not here to convince you to sell your furniture, ditch the car, or eat Ramen noodles for the next fifteen years. Gross. All I’m saying is that you don’t have to live that way any more.
How would you like to:
- Tell your money exactly where to go instead of wondering where it went?
- Stop going further into debt, and not have to worry about who is calling?
- Get the best deal possible on pretty much every major purchase you ever make?
- Never have to wonder if you can pay your bills?
- Decide for yourself how much you want to have available to cover an emergency?
- Ditch the debt hole you’ve been digging and start to build real savings?
Okay, so a budget is not magical. It won’t do any of those things for you. But unless you have an uncle on this list (and if you do, call me: we should be friends), it is highly unlikely that you will experience any of these things without a budget. We’ll get to specifics in my post next week, but for now, just answer this question:
Who makes the decisions in your home: you or your bank account?
Photo credit: Pictures of Money