Most couples still don’t have a budget for their finances!
Budgeting in marriage works best for couples who combine their finances using a joint account.
The idea behind budgeting is to have a financial plan and be able to keep track of your spendings.
There are several ways this can be achieved from using cash envelopes, spreadsheets and bank apps.
You get an overall view of what you’re spending your money on and helps remove any financial misunderstandings between you and your spouse.
It is very important to list out every category of your expenses if you’re using a spreadsheet or cash envelopes. You want to cover each category in your monthly budget.
If you’re using an app, most likely these categories are already configured for you. You will only need to input some data to allow it do what it’s designed to do.
That way, you can slice your budget and see different views and track what you are spending your money on.
Don’t forget your fixed monthly expenses i.e. mortgage payment, rent, food, transport and utilities are more important part of your budget than clothes or entertainment.
You can find out more on today’s episode, How Budgeting can Transform Your Finances.