Top Budgeting Myths

Budgeting Myths

Creating a budget is one of the best financial decisions you can make for yourself and your loved ones. Not only does a budget help you determine and reach your long-term goals, it will also help you manage your day-to-day spending and gain control over your finances. 

Even so, starting the process to develop a budget can be intimidating. There are some myths about budgeting that have developed over the years, and we want to set straight some of the most common ones so nothing stands in the way of reaching your financial goals.  

Myth #1 – You Have to Be Good with Numbers

You don’t need to be a math wizard to create and manage a budget. In fact, budgets have very little to do with math, and everything to do with planning ahead for a stable future. If you go the old school route, you’ll most likely encounter simple addition and subtraction. However, budgeting in today’s world is easier than ever. If you utilize a budgeting app or tool, setting up and managing your budget can be done within minutes, no math required.

Myth #2 – Budgeting is Too Restrictive

Many people assume budgeting requires you to say “no” to everything. While budgets do require some self-control to be most effective, budgets also allow you to live the life you want. You may need to give up a few trips to Target or limit your Amazon spending, but you may find you enjoy making those kinds of decisions when you have your long-term goals in mind.  

Myth #3 – I Don’t Have Enough Money to Budget

Creating a budget is for everyone and has very little to do with your monthly income. Rather, a budget is a way to maximize the efficiency of that income, which can be helpful when things are a little tight or when you have a little extra in the bank.

Myth #4 – I Don’t Have Enough Time to Budget

While it may take a little extra time up front, managing your budget monthly can be done within minutes. With the help of budgeting tools and apps, that time can be even shorter, as the tools take on all the time-consuming tasks.

Deciding to create and set up a budget is one of the best things you can do for your financial health. No matter what’s getting in your way, it’s never too late to start a budget that fits your daily needs and lifestyle. Are you ready to learn more about developing a healthy budget? Visit your local First Mid banking center today and ask for guidance.