Reasons why your budget keeps failing

gboyinwa ajomale

January 15, 2018 2:37 PM

Instead of giving up on budgeting, you can look for reasons why your budget your budget is not working for you and find solutions to your budgeting issues.

You might have a budget but it might keep failing. Creating a budget is easy but sticking to the budget is the hard part.

There might be some things you are doing wrong that makes it difficult for you to stick and follow through with your budget.

Here are reasons why your budget keeps failing all the time.

1. You have no financial goals

Your budget might not be working for you if you have no financial goals. With a financial goal, it will be easier for your budget to work for you.

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To have a functioning budget you need to set financial goals you plan to achieve in the future.

Financial goals will help you stay focused on making your budget work because you have something you want to achieve.

2. Using the same budget every month

Expenses differ every month which means it is not what you spend in one month that you will spend the next month.

So if you keep using the same budget for each month, then your budget might just fail. As you get into a new month, you should always create a new budget

3. You don’t have a realistic budget

If you don’t have a realistic budget then your budget might not work for you. Create a budget that reflects your income.

You need to check how much you earn and also how much you spend, then you can use it to create a budget that works for you.

4. Having a nonchalant attitude towards budgeting

If you have a nonchalant attitude towards your budget then there is a high chance it might not work for you.

There is a reason why you create a budget, if you have a negative approach to it, then you should not have created it.

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You need to stick and follow through with your budget.

Also if you think a budget serves as a hindrance to your expenses, then it won’t work for you

5. You have no emergency fund

Imagine having an emergency situation which requires you to spend and you and you already have a budget you are following for the month, where will you get the money to sort such situation. The money from budget or your emergency savings fund?

If you take out money from your savings then your budget might not work for you. You need to have an emergency fund you take money from when emergency situations happen.

gboyinwa ajomale