How to make a BUDGET / Budgeting for beginners (pt 1)

How to make a BUDGET / Budgeting for beginners (pt 1)


if you are struggling to figure out how to create a monthly budget then this is the video for you hey guys my name is Kristen I am a blogger at sent and purpose dot-com where I share a ton of budgeting information to help you learn to live on a budget save money get out of debt and today I’m really excited to share with you the start of a whole new series so this series is called begin to budget and the reason I wanted to start this budgeting series is because if you go to my website you will see a free email course and this email course is all about teaching you exactly how to start a budget so you can read budgeting articles or watch budgeting videos but depending on how you learn best it can be helpful to have somebody come alongside of you take your hand and walk you step-by-step and teach you exactly how you start a monthly budget from beginning to end so that’s what we’re going to do here today I’m going to break this up into five videos just like I have my free budgeting course broken up into five emails so if you’d prefer to learn by reading instead of video go ahead and check out the link down below in the description you can head over to my site you can sign up for the free email course and you will get one email every single day with a new lesson and very actionable tips and some free printables to help you along the way and by the time you complete all five lessons or watch all five videos and you go through all of the steps you will have a fully functional monthly zero-based budget that you can use to try and improve your finances now before we get started I just want to make one gentle reminder and that is knowledge is not power I know we have all heard this before we’ve read this in books knowledge is not power now I just simply acknowledge it means you’ve learned something and now you know more than you did say prior to learning that knowledge however applied now is power so something is not powerful and necessarily if it’s just sitting in your head you can watch all the videos and take all the lessons and read all the blog posts but if you’re not going to take what you’ve learned and put it into action you’re not really going to make any progress so I just want you to keep that in the back of your head while you go through all of these lessons and make sure you take the action tip that you learn at the end of every lesson close the video close the computer sit down and really take the time and do the work because if you don’t do the work you’re never going to reach your goals so let’s get started now why should you listen to me I’m not an expert I have said time and time again on my channel I am NOT an expert I have no accreditation I am NOT sitting here on my high horse telling you how to spend your money in any way shape or form in fact I don’t care what you do with your money I’m not sitting here in judgment I simply want to help you learn how to use this amazing financial tool called a budget that has helped us turn our entire life around and has helped my family and I pay off almost fifty five thousand dollars in just under 20 months so I am simply a mom a blogger a wife someone who had a lifetime of mismanaging my money and wishing that I had some freedom to be able to pay my bills without feeling like I was going to have a panic attack or that I had the freedom to be able to leave my job that I hated and be home to raise my babies myself now those might not be your specific goals and that’s okay but I am here simply sharing what I have learned along our financial journey of paying off debt regaining control over finances and loving life on a budget I have been doing this channel for over a year now and I’ve had my personal finance blog sense and purpose for almost two years I’m gonna leave all the links down below you can check out all my other videos on budgeting and all of the helpful articles I have on my site and all of the budgeting products I have in my Etsy shop it’s only intended to share my personal Ariane’s with you in hopes of inspiring you to begin your own financial journey because nothing feels as good as debt-free 2017 I felt like we had really hit a wall with our finances it was really impacting my mental health I was stressed and upset all the time my husband and I were constantly fighting about money I was always worried that we could never get ahead or we could never afford to give our children the life that we wanted or take vacations and make lots of memories and I had stumbled across Dave Ramsey’s Financial Peace University at a local church and asked my husband if he’d be willing to take it with me and much to my surprise he said he would be now don’t get me wrong this is my idea I was super pumped he was not exactly pumped and while I’m pretty sure he only went just to try and be supportive for me eventually I could see his demeanor in the in the class start to change and I could tell that he was really becoming interested in what they were saying taking this course together really solidified our commitment as a couple to begin tackling our mountain of debt at that time we had thirty five thousand dollars of consumer debt that we needed to pay off and it felt impossible and extremely overwhelming now if you have a partner or a spouse I strongly encourage you to speak to them about this and get them on board with your budgeting journey if you’re struggling with doing so I’m gonna link a recent video I did up here in the cards it’s all about how to get your spouse or partner on board with budgeting and I think you’ll find that helpful and give you some tips to try and get them on the same page as you are now when we began working together as a team we paid off the $35,000 in only seven months now I’ve also talked more in depth about our debt story in another video I’ll go ahead and link that up here for you as well long story short after we paid off that money we then decided to close a business that was also in debt and we then tackled another almost $20,000 using the same principles and the same budgeting habits that we had just used to pay off our first round of debt and the point is when you can work together as a team you are twice as strong and you’re able to cover so much ground and so much less time when you’re sprinting towards your goals first thing we need to talk about is what a budget is and what a budget is not now I don’t know about you but personally I think I had such a hard time sticking to a budget because in the back of my head I really didn’t like the word budget it’s like the B word of the personal finance industry but here’s the thing a budget is not restrictive a budget is not deprivation a budget is control and a budget is freedom and a budget is permission to spend your money however you plan a budget is simply a spending plan it is you taking the time and creating a plan of what you want to do with every single dollar you bring home in your paycheck or your spouse or partner’s paycheck but every single dollar needs a job needs a purpose needs an assignment needs a home you need to create the plan ahead of time create the plan before the money shows up in your bank account so that when it arrives you know exactly what to do with it and you can put your money to work for you if you don’t do this your money is going to disappear think about you get paid and you’re like oh my gosh look at all my money I’m so rich for like five minutes right you pay your bills you do your shopping whatever else you need to do with your money and then there’s money left over what do you do with that money who knows a lot of times you just leave it in your account and before you know it little by little by little it just disappears it’s spent oftentimes you can’t even remember what you spent it on but when it’s sitting there without a purpose it’s so easy to just recklessly spend that money so we are going to give it a purpose we are going to give every single dollar that comes in to your family finances we’re going to give every single dollar a name now a budget is going to give you back control if you’re feeling like your money your finances are out of control you’re having a hard time paying your bills you’re having a hard time coming up with the money that you need to just do small things in your life and by regaining control of your money you’re going to have freedom so a budget is going to give us a plan it’s going to give us control and it’s going to give us freedom so if you are having a medical emergency you can focus all of your energy on getting the care you need and recovering instead of worrying about how you’re going to pay the medical bills because your budget is going to help you with that if you have car trouble you will be able to go and get your car fixed instead of having to stress out about how you’re going to get to and from work or even worse having to his paychecks because you can’t get to work a budget is going to help you do that if you are stressed out you’re going to be able to set money aside and take a vacation get some rest and relaxation and actually enjoy your vacation instead of sitting on the beach with a mai tai in your hand wondering how in the world you were going to pay off your credit card that you just charged your Island vacation on creating and living on a budget is going to help you take back control of the finances you are the boss you are the boss of your money not the other way around so by creating and living on a budget you are going to be the one in control now I know all of this can sound hard to believe since we are conditioned to think that a budget is going to restrict us and a budget is going to make it so we can’t get our morning Starbucks or we can’t go out to eat with friends that’s not the case at all you simply have to learn to prioritize your money create a budget based on your personal values I promise you if you start budgeting and you stick with it that’s the important part because you’re not going to get it right the first time it took us three to four months to really get it right and in fact we still mess up well we still mess up a lot and we have been budgeting for over three years now so I want to just start off by making sure you’re giving yourself grace and you’re understanding that there is a learning curve when it comes to budgeting so please do not expect yourself to be perfect you’re going to mess up you’re going to forget things you’re going to miss things or overestimate or underestimate and it’s okay you’re going to get through this it’s going to be fine I’m here to walk through it with you now for your homework tonight you have two action steps I want you to go to the link down below in the description box and download your free monthly budget worksheet now you can go ahead and review those but you’re going to actually need them for next week’s video I just want you to print them out awhile to be sure that you have them and you’re ready when next week’s video comes out so you can watch it and take action immediately now for the second part of your homework you’re going to sit down with your spouse or your partner and you’re going to talk about your goals and your dreams now I know this might sound silly but trust me this is a huge part of this journey so if you can’t come up with goals and dreams together you’re not gonna know what your why is you’re not gonna know where you’re going and where you want to focus your efforts so when your why is strong enough you can do anyhow this journey is going to get hard it’s going to suck sometimes it’s gonna be frustrating you’re gonna have times where you really mess up and maybe you have to start over you’re going to have times where it just feels too tough like you’re not making any progress and you’re not getting anywhere and that is why it’s so important to have clear goals and a strong why now if you do not have a spouse or partner or they are unwilling to get on board at this time I want you to find somebody who can be an accountability partner for you maybe it’s somebody else who has great financial acumen and you really respect the things that they have done with their finances in their life reach out to them let them know that you want to start making some changes and you really respect how they manage their finances and you’re wondering if they would be willing to be an accountability partner for you find somebody that you trust somebody that you respect and somebody that treat you with respect as well you do not want a yes-man here you want someone who is going to love you enough to tell you when you’re making poor decisions find an accountability partner if you don’t have a partner or a spouse and sit down and really come up with goals and a very clear vision of where would you like to see your finances where would you like to see them in six months a year five years ten years where would you like to be when you retire or maybe you’re already headed towards retirement so what would you like to do when you retire how do you want to spend your money how much money do you want to have to spend really putting these goals out into the universe and putting them down on paper is such an important first step please take this seriously please take some time to do this and when we come back and video number two we’re going to be talking specifically about how to create your budget if you guys have any questions at all please don’t hesitate to leave them down below I’ll help you in any way that I can I really hope that you’ll come along with me and stick around for my begin to budget series especially if you have tried and failed before my goal for this whole series is just to really get you set up for success and get you being able to budget with confidence because I truly believe that it is very possible to love life on a budget thank you so much for watching today I appreciate you so much and don’t forget to subscribe and hit the bell so you’re notified when every new video comes out for the series have a great day bye

Leave a Reply

Your email address will not be published. Required fields are marked *