Hello guys! It’s finance Friday. A time when we will be talking about how to live a fabulous and frugal life.
In our last post, we made it clear to us what being frugal means. If you haven’t read it, click this link to get a full grasp of today’s discussion.
It is true that we all desire to have a steady flow of money or let me say, we wish to manage money better than we are doing presently. But the question is how can you manage the flow of money you don’t measure nor keep record of? How do you know your wealth worth if you cannot account for your finances?
To be financially free and fabulous with your spending, you need to have a good budget. This truth can never be overemphasized. It is the first step to living a Fabulous and Frugal life. Budgeting is a simple tool used to track the inflow (income) and outflow of money (expenditure). It will help you to understand what you need to cut out from your expenses and learn to have a scale of preference. A good budget plan will also spur you to earn or make more money as the case may be.
The beauty of budgeting is that there is no one-size-fits-all. What works for A may not work for B because our lifestyle and income differ. However, we can help you with a template that you can work with and update to suit your own lifestyle, income flow and expenditure. (click this link to get a free template from our resources area).
Before we call it a day, I would suggest the following budgeting tips if you are finding it difficult to keep record of your income and expenditure.
• Keep a record of your daily expenses. The use of credit/debit cards for payments helps one in keeping track of expenses. You can as well try expense tracker apps too.
• Have a scale of preference. The list of your basic needs and necessities such as house rent, food, personal development and training fee, etcetera should be paramount here.
• Work on balancing your expenses with your income. Find the fat in your expenses and cut it off. It’s not only body fat that needs to be watched ladies! You need to get rid of that excess fat in your spending as well.
• Learn to earn more than you spend. To every paying job you have, own a side hustle. Don’t just depend on one stream of income.
• Sharpen your financial skill and management by reading good books. You can also join the Money Africa Edtech platform to be a financial giant. To get an exclusive FabFrugals discount when you want to join the Money Africa platform send us a message or a DM for the discount code.
Having a budget plan will help you cut out unnecessary expenses and enable you to save for important needs. Most importantly, it will make you live a Fabulous yet frugal life.
We would love to hear from you, let us know how you budget and if you don’t have a budget why?