Budgeting: it can be intimidating to many and can require a lot of effort that wears you down, especially if you aren’t seeing the results quickly.
Avoiding the wear down is easier when you have some small short-term goals that help you see the success of your hard work a little bit quicker than your large long-term goals.
Examples of Short-Term Goals:
- Set-up an Emergency Fund
- Pay off a credit card
- Take a trip somewhere
Examples of Long-Term Goals:
- Start a business
- Pay for college for your kids without borrowing
- Own a second home
Do you have a couple ideas of what you want to save for in mind? Great! Now that you have those, it’s time to start the budgeting process. There are so many ways to budget, it’s important to utilize the plan that is best for you.
One of the biggest items across all financial bloggers is: Keep it simple. If you feel your budget is a chore, you won’t follow through. A rule of thumb to keep your budget simple is to use the 50/30/20 guideline: 50% to “needs”, 30% to “wants” and 20% to “savings” or other financial goal.
See the link below to Get Rich Slowly – a blog that gives you ideas for many different specific budget plans you can utilize. All these plans are simple and easy to see the progress!
Stay tuned to the CSB Blog for more budgeting tips, tricks and other financial resources to help you in the upcoming year. Next up we will be talking about our own budgeting resource available to all CSB customers in their online banking, Summit Up!
Written by: Erin Hawk
Featured Photo by: Erin Hawk