Marcus and I have used a money-managing software for the past five years, and it has really been the secret of our success at keeping a budget . It makes budgeting and tracking finances so easy, and does almost all of our record-keeping for us. Every few days, I click one button and download every transaction that has transpired (checks, debit card, deposits, etc.). Then I spend five minutes assigning each item to a budget category using a simple drop-down menu. The most significant aspect of using this type of software with a budget is that NOT ONE DOLLAR is spent outside of the budget. Since every dollar that comes in or out of our accounts is automatically recorded, there is no possibility of overlooked or out-of-budget spending. The first couple of years we were married, we set up a budget and kept track of it loosely, but wondered why we were still spending significantly more than what our budget allowed for. One reason is that there were so many small purchases that didn't easily fit into any budget category, and therefore they don't get included anywhere. These little things can really add up, and soon you find yourself overbudget. (Dave Ramsey's envelope method is another way to avoid this, but we think that it is way too much work, so we prefer our computer program.)
We (I) spend a lot of time bargain shopping for every purchase, using coupons and internet deals, waiting for necessities to go on sale, and simply not buying many things. By watching every dollar like this, we have always lived on a household net income of less than $35,000 (and some years much less than that), without incurring any debt except medical school loans. Marcus and I agree that the most difficult thing about staying committed to our budget is the occasional skepticism of friends and family when we choose not to do something because of the cost. Our first question is not, "Is this activity/trip/purchase worth X amount?" Our first question is "Do we have enough money in the budget for this?" We have passed up very good deals on things just because there was no way we could work it out within the money that have to spend.
I want to end with this: We live very well and neither us nor the kids are wanting for anything. We have a beautiful house, an abundance of food and clothing, a room full of toys, and plenty of extras to share. We are also extremely aware of the spiritual blessings that come from limiting the fulfillment of our desires. We regularly thank God for these years of non-negotiable self-discipline prior to the years of plenty that may come when Marcus's residency is complete.
Tuesday
Golden Grahams & Corn Flakes
Dried fruit bits
Goldfish
Fish sticks
Rice pilaf
Whole grain Fig Newtons
Fresh peaches
Pizza w/ spinach, mushrooms, tomatoes, black olives & mozzarella on a homemade wheat crust
A few bites of hot dog (at a baseball game)
2 comments:
We've always kept a budget, too, but we're attempting to tighten up a couple of categories like that "other" category you talked about. It certainly can add up fast. We also decided to increase our emergency fund to 6 months of expenses rather than 3 1/2 since the economy is not so good right now. Lord willing, the sale of this house will help us to fund that. It's refreshing to hear someone else talk about money since I often feel like it is the most taboo subject of all (way more than sex!). Jesus talked about money a lot, and I think the sin that stems from money is more apt to take root in the dark when no one is willing to discuss finances. I'll talk money with you any time and Dylan will talk your ear off.
P.S. I don't think your post sounds negative and I find it to be very insightful reading your menu each day. I've been posting a weekly menu at BeCentsAble the last couple of weeks as part of the All You Grocery Challenge.
What money-managing software do you use? We have used MS Money, Quicken, and now are using YNAB, which I like the best. It stands for "You Need A Budget!" lol.
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