Client Services Officer
Everyone thinks about it & everyone worries about it. Money. No matter what we’re earning, whether it be $500 or $5,000 a week, it’s always in the back of our minds… Have I got enough to do this? How long will it take for me to save for that? Can I afford to go on holiday this year? All these questions can be a thing of the past if you take that first step to finding the answer: create a budget.
A thought hit me as I was standing in another shop trying to figure out whether I could afford to spend a couple hundred on a dress or to go out on the weekend with friends; life would be so much easier if I knew exactly how much I had to spend on myself each pay without leaving myself short or, even worse, going into debt to have both.
I want to know whether I’ll be able to afford that yearly holiday I've been craving, or whether I’d be living off bread and water for the rest of my pay cycle if I treated myself to the ‘must have’ gorgeous shoes I spotted online & I’m sure I’m not the only one. By looking into three important things, it was easy for me to create a simple, clear budget. “What are these three things??” I hear you asking… Well, it’s simple.
When I created my budget I worked out:
1. Fixed expenses: what I have to spend to live – car repayments, rent, food…
2. Future savings: how much I need to save – my rainy day savings fund, new car purchase & longer-term goals [yep, someday I do want to buy my own place!!],
3. Fun expenses: what I want to do with the rest – take that trip, buy those shoes I’ve had my eye on, splurge on a couple of nights out, maybe even grab that dress I’ve been eying off!
Since setting up my budget I feel like I have more money. It’s strange to feel that way with the same dollars coming in the door, but when there’s a nice & neat system showing me just what I can & can’t do this week I feel relieved that I don’t need to stress about whether I’ll have enough.
It’s really fortunate that I’ve found an easy way to budget my income realistically, fairly & still manage to live my life the way that I want. I’ve realised money shouldn’t be a cause for stress, it’s there to help me live the life I want & enjoy it.
Living out of home has really taught me the responsibility of not splurging & also the importance of saving for the future me. Nope, it’s no longer “Future Hannah’s problem” – it’s now my choice & definitely one that I’m proud of. & I might just go celebrate by spending a little of my “fun”!
This post contains general information only and does not take into account your objectives, financial situation or needs. Therefore, before relying on this information, you should consider your own personal circumstances and seek professional financial advice. Please click below onto our FSCG to find out about our financial advice services.