Balling On A Budget? 5 Steps To Creating A Budget That Works For You!

Balling On A Budget? 5 Steps To Creating A Budget That Works For You!

Let's keep it real popular culture doesn't celebrate budgeting. We're living in an Instagram-- Big Birkin Bag --Affluence equals followers world, and budgeting does not fit the aesthetic.

There is also a common misconception that budgeting is not something that wealthy people have to worry about, right?...

Wrong!! 

News Flash: Ballers Budget, even if you don't see it on their social media feeds. And if you're declaring 2023 as the year of your Financial Turnaround, you must learn how to make budgeting work for you--Luckily, I have a blueprint that has worked for myself and the hundreds of women I've worked with inside my Real Estate Coaching Business. 

In this week's episode of the Women, Wealth, and Impact Podcast, I 5 Steps To Creating A Budget that works for YOU.

If you identify as a:

💵Yo-yo saver (save a lot, blow it fast)

🛑Living paycheck to paycheck

😕Someone working hard as heck but having no idea where your money is going

This episode is for YOU! You can watch the full episode here or keep reading for the highlights I've included in the blog post.

Let's dispel the common myth that wealthy people don't have a budget--nothing could be further from the truth; in fact, the rich have a whole team of money experts that help them stay on track.

As a future Wealthy Woman, realize that budgeting isn't about deprivation or limits; it's about creating a plan for your finances and future growth. Inside my community, The Women Who Build Wealth Growth Hub, we don't use the term budgeting--instead, we create Money Plans.

The process is the same, but the intention behind a Money Plan is to acknowledge that you're in control! 

Here are the steps I teach the women inside the hub to create a budget (aka Money Plan) that works for them!

Step 1: Start by tracking your spending. 

• Do you know where your money is going? 
• Are you over the recommended 50% for necessities like housing, food, and transportation?

 The first step to creating a budget that works is to get honest about where your money is going. In an earlier episode of the Women, Wealth, and Impact Podcast, I shared a study by Goldman Sachs on The State Of Black Women's Economics; many listeners were surprised to learn that they are way over the recommended percentages for necessities.

You should track your spending for at least one month to get an idea of where your money is going.

There are several ways to track your spending, but one of the simplest ways is to use the highlighter method, which I discuss in detail here.

Step 2: Create a money plan. 

Once you know where your money is going, it's time to create a money plan—aka a budget! Begin by adding up all your monthly income (from all sources, including your job, investments, etc.). Then, start listing out all of your expenses in two categories: fixed and variable. You can track your budget in a spreadsheet or use my digital planner.

Fixed expenses stay the same each month (e.g., rent or mortgage payments), while variable costs fluctuate (e.g., utility bills or groceries). Once you've listed out all of your expenses, compare them to your income to see if you're spending more than you're bringing in.

I'm not a strong advocate for drastically cutting expenses, especially if those expenses make life more fulfilling for you --instead, I advocate for closing the gap in your finances through side hustling and eventually investing. Do you want a list of 50 side hustles you can start today? You can access that list for just $7.00 per month when you join the hub. 

Step 3: Automate your savings. 

Inside my Fire Up Your Finances Flagship Program, I detail how to make savings a habit you barely think about. We start with automating savings and dive into advanced techniques like funding your investment fund and learning how to make money work for you through Real Estate.

Your first goal with savings automation should be to build your emergency fund with at least $1k. I challenge you to hit this goal in 30 days to jumpstart your account. Next, get into the habit of adding to this account by automating the process. This will require you to set up automatic monthly transfers from your checking account into savings or investment accounts. 

Step 4: Organize everything into one place. 

When it comes to budgeting, organization is critical! Keep all your financial information—including bank statements, bills, receipts, etc.—in one place so that it's easy to find when you need it. My digital planner or even a computer folder can work well for this purpose. 

Step 5: Review your budget regularly. 

Your budget isn't set in stone— Money Plans are meant to be reviewed and updated regularly as your income and expenses change over time. Be sure to revisit your budget every few months (or more often if needed) to see if any changes need to be made.

A budget is simply a plan for your finances; it isn't permanent and does not have control over fun or enjoyment! By creating a Money Plan, you'll be able to see exactly where you are versus where you want to be. The plan will help you use your resources to close the gap and build wealth. The process is simple, but it will take effort and consistency, so I created The Women Who Build Wealth Community Hub. For $7.00 a month, you'll receive:

When You Join The Women Who Build Wealth Growth Hub you will receive: 

✔️The flagship Fire Up Your Finances 8-Day Program

✔️Step-by-step instructions on conducting a financial audit

✔️The sought-after 50 Side Hustles Worksheet can help you leverage your knowledge, skills, and background to generate a side income in as little as two weeks!

✔️Access to The Women Who Build Wealth Community

✔️Strategies that I, and my private-coaching clients use, to get the entire family onboard!

✔️An implementation checklist to keep you focused on celebrating your wins daily

✔️A powerful debt reduction strategy you can use to start improving your financial standing TODAY!

At just $7 a month, you'll have access to information I've used and taught over 200 women, JUST LIKE YOU  reach financial freedom. With an offer so low--you can't afford NOT to get Access to the mentorship, resources, and community you know you need.