Take my advice: A business major shares her tips on budgeting

By Kaylee Van Winkle, Contributing Writer

Budgeting is like a road trip that leaves room for random pit stops and spur of the moment decisions. It is setting a goal and achieving it or executing a well-practiced game plan. When taking the first step on the road to a balanced checkbook, keep these pieces of wisdom in mind.

How do you budget?

For the past 5 years, I have been traveling and competing in an equestrian sport called “eventing.” I am also a very goal-oriented person, so setting a budget has been essential to being able to achieve my equestrian and life goals. When creating my projected budget for the year, I write down the anticipated cost of competitions and clinics I plan on attending, the dates of the competitions so I can better estimate my monthly expenses and any extra expenses that typically occur. After looking at my list of expenses, I write down my projected income for each month. This allows me to evaluate the amount of “extra” money I will have and decide what to do with it (i.e. savings, tithing). I also make use of my bank’s app, which tracks each transaction and allows me to set personal limits on my accounts.

What’s one way to stop spending a ton of money?

Pause.

This is the best way I’ve been able to cut back a lot of spending. There are less expensive ways to purchase many items, whether it’s waiting for a sale, going online or switching brands. It doesn’t matter if you carry cash or only use a credit card; it all falls back on self-control and if you’re able to say no to the items you don’t really need.

What should be included in a budget?

Include what you know you want to treat yourself to; whether that’s new music, shoes, sports equipment or coffee, it needs to be recorded. Also include your sources and amount of income. Be realistic with yourself. Don’t play into an ideal self—you know how many times a month you absolutely need that pizza or want to grab coffee with a friend, so account for that amount!

Should everyone budget?

Absolutely! We all want to buy something at least once in the school year, right? Whether you are scratching pennies off the floor of your car to buy an ice cream cone or thinking you need just one more Nike shirt, we all need to know how to steward our finances. To know what we have spent, where we have spent it, how much we have saved and who we have helped is not only logical, but it allows us to responsibly steward this life we are blessed to live.

On tithing…

While budgeting is very important, our road trip map, game plan or goal that we create must be held loosely and openly before our Heavenly Father. If He asks us to give more than we “allotted” for this month, give! His plan is so much better than ours and He certainly will never ask us to give and then forsake our needs. He enables us to steward our lives well and part of that stewardship is living surrendered in every area of our lives.