In business and accounting subjects, budgeting is being taught. For a company to last, budget is a must. This is why they have to hire brilliant CPAs, financial managers, financial consultants, and a whole lot more to take care of their funds, their budget, their finances – the lifeblood of their business.
Indeed, the need for a budget in business cannot be discounted.
But how about applying this at a personal level – in one’s personal finance?
Maintaining a personal budget can be tiresome to a lot of people, even CPAs (like me) perceived to be good at it are not excluded. Perhaps, it works at first but it doesn’t usually last.
For those few who are good at it, go ahead; keep it up. For those who can’t, try the simple basket system that my mentor teaches: 10% for your tithe, 20% for your savings and investments, 70% for your living expenses.
As you move on to increasing your cashflow, you can add more for to savings and investments, and to your gratitude fund (tithe).
So again, if you cannot do budgeting, do the basket system.
Practice these simple habits toward financial freedom.
(Simultaneously posted at http://chrisdaoanis.wordpress.com and http://www.youngmindgroup.com/theyoungminds-blog.html.)