Budget Beginnings

Recently, I shared how I've reached some financial goals and while I'm not a financial adviser by any means, I have "been there" and "done that" as far as struggling with money management. A little background: After having our second child, we decided that it would be most beneficial for our children if I quit my full-time insurance agency job (I was a customer service rep) to be a stay-at-home mom. That left my husband to be the sole bread winner. We were lousy at money management and lived basically not on a shoestring but on a thread. I stayed home for the better part of 12 years before I went back to work as a part-time bank teller. That's a lot of years of mismanaging the income that was provided for us. We saw a lot of hardships, including two serious medical scares for my husband and daughter, and in both instances we did not have medical insurance.

So I would like to share what has worked for us - the information that has gotten us on the right path. There has to be the moment when you know when things need to change in the manner of gaining control of your financial situation. Here are some first steps:

*Be joined with your spouse in your budgeting goals. Have a frank, honest, and truthful discussion about the amount of debt you have. This is not a pointing fingers, 'you did this' talk. It's a we're here and need to be there discussion. Communicate and be in agreement.

*Don't leave God out of your finances. Pray with your spouse in asking God to give you wisdom and direction in the management of your finances. Desire to be a good steward of the income that He provides for your household.

*Know where your money went. Write down all of the expenditures you made in the past three months. A visual picture is worth so much. You will be able to see where difference lies between needed living expenditures such as rent/mortgage, electricity, food, and insurance and infrequent or impulsive purchases such as clothing, gifts and entertainment. This is a good time to evaluate your wants from your needs.

I believe that this is a good time of year for a budget overhaul. It's back to school time - a great time to be organized and know your financial situation before the pressures of the holidays begin in just a couple of short months.

I'll be sharing more about budgeting and personal finance that has worked for me personally, in upcoming posts. In the meantime, do you have any ideas on how to take that first step towards creating a budget?

Blessings for a wonderful day,

Liane