Dreamer

Good evening dreamers! How are you handling this Monday? I for sure want to go to bed.

Social media is full of people telling the story of being fulfilled by what you’re doing so much that you don’t feel the tiredness. It’s a lie…

I am fulfilled by everything that I’m doing. I wanted to change the world, and I’,m doing it, one student at a time, I am happy about it and still feel tired, so, as a prologue of today’s article here’s my thought: let’s be fulfilled with what we do and still be tired!

But now, let’s dive into today’s topic: B U D G E T S.

Yeah, yeah, you heard me right and you’re probably here because you have some dreams and goals that need big finances, so the big question that solves our dilemma is:

What is a budget?

Well, a definition, according to Cambridge is a plan to show how much money a person or organization will earn and how much they will need or be able to spend.

In simple words is a cheat sheet to see where our money goes.

Of course, depending on our goals, the budgets can diversify. We can have budgets to:

• track our finances
• improve our finaces
• save money
• build discipline.

To track our finances is the easiest budget type. Basically, with no rules and no exceptions, we keep track o every income or expense. When, where, what, and how much is the only word we need to know.

When we got money/spend money, where that money came from or where did they go, how much and for what.

To improve our finances, well this part comes as an extension for the previous one. We know now what’s going on with our money, and it’s most likely to dislike the answer. So, it’s time to set some guidelines in our budgets. To set some boundaries like: I want to spend only that much on this. I want to spend less than 200 on transportation. This way, your finances improve, your creativity excell and your life is a bit brighter.

Thrid type, same as previous and the next one, is also a new level. We know what’s going on with our money, we managed to correct some errors and now we might have some goals toward our financial freedom, or maybe some deep desire like a brand new Audi RS7 or a mountain lodge or your first apartment. I don’t know, those are just mine, you have yours. But what I do know is that here is the part where different tactics come in handy, or strategies.

You’ll find on the internet some said rules like:

• pay yourself first
• 50-40-10 rule
• 50-30-20 rule
• 40-30-30 rule
• other variotin of this rule
• go minimalist

Pay yourself first is a rule I agree with 100%. I put money in my savings account at the moment I receive my payment. It boosts my mood and my motivation and I’m not tempted to touch them.

The percentage rule. Well, you can set your own percentage for what you save, your needs, and your wants. It has to be realistic in the needs parts. In a country like Romania where the prices are high and the pays are low, you’ll find very often that you only pay rent, utilities, and food with more than 50%. Not talk about basic hygiene products, treatments, education. Not denying that there are many people that unlike me have youtube premium but we’re talking only about those focused on the budgets.

Go minimalist. Well, minimalism is a concept that is so good for our pockets and minds, yet so hard to implement if you have a hoarder DNA like me.

Being minimalist means that you choose quality over quantity. You won’t buy a pair of sneakers every year for the next three years. You buy one, that you’ll wear for three years at the expense of 3 pairs. You have fewer options, so you have more time, energy, and focus to deal with things to get you money. You also have fewer responsibilities so again more time and we all know that time is money.

Build discipline is the last thing on the list. Why would we have a budget to build discipline? Well, it pretty much makes sense with the percentage rule. Let’s say you start with 50 needs-30 wants-20 savings. A good discipline practice would be to start downsizing the first two categories while increasing the third one until you get to a point of 20 needs-20wants-60 savings.

In this year’s planner, I didn’t include budgets, yet here you have two types o budgets that you can find in the printable’s section too.

I didn’t do it because lately, I’m using budgeting apps to be easier with tracking.

Well, here we are, at the end of tonight’s chat. Let me know how helpful this was for you and see you soon.

#adreamerlife

Crissu