Budgeting…Yuck

This post will have to have a sequel...it just went on and on and on.  When I quit work, the number one question people asked me was how could I afford it? Well, I had a plan and a budget.  Plus I'm only out of the workforce temporarily, while I rest and get my RAD under control.  I have every intent on returning to some type of employment within the next year.

If I’ve learned anything the last few years it has been that money, and managing it, is more psychological than financial.  Everyone brings their on idiosyncrasies into how they earn and spend.  Without a budget, you lack a financial road map.  And without a map, you are liable to just meander along and “fritter” away your resources.

I’ve worked since the beginning of time, inserting newspapers, babysitting, flipping burgers, waiting tables, Wally World…you name it and I’ve probably done it.  I also spent most of what I earned…clothes, college and racing. Maybe a little more racing.  From all of this, I did learn a great work ethic…work hard or have no money.

It wasn’t until I graduated from college and was officially out on my own did I discover the power of budgeting.  And I basically figured it all out for myself.  Yes, even with a financial related degree, I had very poor personal finance skills.  A few years down the road, I married, had a child and chose to quit work and stay home.  Again, without a concrete ( yes, folks, I mean set in stone with mortar) budget I would have been stuck working full time in the ATL with small children.

During this time my time as a SAHM, I used the Dave Ramsey approach to snow ball debt and save for us to buy our first home.  I am not endorsing Ramsey’s products, because even though I find his message on track I don’t like his “selling” of financial products, especially to people who may be financially vulnerable. There are tons of financial blogs and resources out there today.  So if you are struggling with your finances, put some work into figuring it all out.  But start with a BUDGET.

Today I use an excel spreadsheet to budget each month.  I didn’t say I stuck to it, but it is a starting point.  At least I know my targets and how much is going out. 

I also like the plan found here 50/30/20.  I also recommend the msn money website as a place to start working your way through some financial planning.  This plan comes from the book "All Your Worth: The Ultimate Lifetime Money Plan" by Elizabeth Warren.

I also read a lot of blogs like Get Rich Slowly , especially the older posts.  I also like Surviving and Thriving and The Simple Dollar. These are real people who have overcome a lot of debt and other financial barriers.  So read and come up with a budget solution that will work for you.

Now, more than ever, having a life altering illness means that Scott and I have to also alter our financial plans.  I know that we have to stay on top of our budget and know what it costs to live...and eventually retire...

It is a tradeoff...how much money is enough for how much life you want to live.  Luckily, I've realized I control those choices.  It goes back to the psychology of money and personal goals all within the framework of a budget that works for my family.