Do I really need to budget?
Over these past four months we’ve been hearing all kinds of statistics related to Coronavirus… so let’s change things up. Here are some other statistics that are also very sobering….
78% of Americans are living paycheck-to-paycheck;
Student loan debt in the United States now totals over $1.56 trillion dollars.
The average student loan debt? $32,731.
The average credit card balance? Over $6,200.
47% of Americans have NO money in savings - zip, zilch, nada. Good thing we haven’t faced a recent national, financial emergency… oh, wait…
42% of Americans are NOT saving for retirement. Dave Ramsey advises that we save at least 15% of our household income for retirement.
Fun numbers, eh? No, not really.
This is why having a monthly financial plan (aka BUDGET) is so important. A budget is about happening to your money rather than letting your money happen to you. It’s about intentionality and healthy boundaries.
I want to share with you four primary benefits of budgeting:
The Financial Benefit. How do you avoid becoming one of the statistics cited above? Make a plan! It turns out, God’s and Grandma’s ways of handling money really do work! By the way, next time you read through Proverbs you’ll see it’s chalked full of financial wisdom!
The Spiritual Benefit. Managing money really becomes a spiritual exercise because it touches our character, hopes, values, and trusts. Rather than throwing caution to wind, consider how having a budget is affirming you as a steward of God’s resources entrusted to you. A great book on this topic is “The Treasure Principle” by Randy Alcorn.
The Relational Benefit. Budgeting can bring greater communication to couples and families because it forces us to clarify our goals and expectations. Single people can find deepened friendships as they allow an accountability partner to provide encouragement and accountability in sticking with their budget.
The Emotional Benefit. What’s more stressful than running out of money before you run out of month? The answer is, not much. Just like cleaning a messy garage or closet can bring a sense of order and peace, cleaning up your finances with a written budget, “on paper, on purpose” each month can bring order to the chaos of finances.
Are you needing help getting on a budget? Or sticking with a budget? Are you concerned about having enough for retirement or other major savings goals in front of you (like college for the kids)? Reach out to me to arrange a FREE financial consultation and even meet with a Ramsey SmartVestor Pro who can review your overall retirement strategy.
My wife and I just finished leading the 9-week (virtual) Financial Peace University class with families across the country. In just those 9 weeks, our class of 8 families paid off nearly $50,000 of debt and added another $8600 to savings! That’s a $7,325 financial turnaround per family! With God’s help, you can do this and I would be honored to assist you. If you (and if, married, with your spouse) would like help to discover financial freedom, just reach out!
Grace & (Financial) Peace,