5 Super Simple Budgeting Tips For Beginners
/The road to financial freedom is one that requires intention and focus. At Money & Mimosas, we believe it is possible to attain financial freedom without living frugally. However, that does not mean it won’t require effort and mindfulness. It is similar to any health and wellness journey. It is about a lifestyle. The initial stages may require intense discipline around your diet and exercise. As you become stronger and healthier, you will be able to introduce a more relaxed approach.
The same goes for finances. Depending on your current situation, the beginning may require drastically cutting back on your spending. Once you get into a flow with your finances by increasing your income and practicing mindful spending, then you will be able to splurge according to your situation.
If you are in a season of discipline and cutting back on spending, here are some top tips to bear in mind when it comes to smart budgeting.
Don’t be in such a hurry to move out
Independence sounds so freeing, but it comes with some expensive responsibility. When you live at home, you don’t have drastically reduce your financial obligations. You also get to be around the people who care about you. If you do have to move out, considering getting a roommate so that you split or share the cost.
Limit your eating out
I’m all for supporting restaurants and enjoying a delicious meal from your neighborhood’s fabulous chefs. However, be honest with yourself about the amount of money you are spending on eating out. Cooking at home may be time-consuming, but you can do it in bulk so that you have something to eat every day. Nick and I cook all of our meals for the week on Sunday. We turn on music, pour wine, and make it a party in the kitchen. A few hours later, we have healthy, delicious meals prepared for the entire week.
Regulate your data usage
Thankfully I have unlimited data through my service provider, but there are many plans that charge for data usage. And the cost can quickly add up if you’re using data for entertainment purposes or for work. However, data plans are always changing so keep checking up with your network provider to see if you can access a much better deal for your money. All networks have different types of plans available, for example, the Airtel Nigeria Data plan is specifically created to suit all types of budgets.
Save a portion of your income
As I always recommend, during your weekly money date make it habit to transfer a portion of your income to your saving account. How much you should save is dependent on your financial situation and goals. I generally recommend 10-20%, but there have been times when I could only do 1%. Do whatever you can and remember it’s more about developing- and maintaining- the habit of saving.
Don’t lend money you can’t afford to lose
By all means, help out when you can, and that’s it - only when you can. Also, think about the possibility of not getting the money back. Does it affect you to the point where your survival is at stake? Then it is probably a bad idea. It can be tough to say no to someone asking for help, but this is a golden opportunity for you to practice boundaries and learn to prioritize your financial well-bing.
About Money & Mimosas: Money & Mimosas was started as a passion project by Danetha. A former NFL cheerleader turned entrepreneur, she started blogging as a way to combine all of her passions into a career. Money & Mimosas is now enjoyed by readers in over fifty countries with the same dream of achieving financial freedom without living frugally.
