You meticulously devise a budget at the start of every month, and have financial goals broken down throughout the year, so why do you never end up meeting them? Well, there could be several reasons including the most common one listed below. Read on to find out who they are, and how to resolve them and leave more money in your pocket each month.
You’re not giving it enough attention.
Yes, just like a child your budget can seriously misbehave if you don’t give it enough attention. In fact, many people spend hours pouring over their figures at the beginning of each month and setting things in stone, only to have all of that go out the window as soon as they see something shiny that appeals to them. Then they spend freely and forget to log this expense, sometimes because they are embarrassed, and so a deficit in what was set aside to be spent and what was actually spent is created.
Track your spending daily, and review at the end of each month to see where your money is actually going.
Of course, the answer here is to record your spending faithfully, even if it documents that you are being somewhat more frivolous than you like. After all, it is only by becoming aware of these harmful financial habits that we have any chance to eradicate them over the long term and restoring order to our monthly budget.
You are paying for things that aren’t your responsibility.
If I, a perfect stranger to you approached you at a fast food place and order a meal, stating that you needed to pay, what would be your reaction? You might laugh, tell me off, or even get angry, and all these would make sense, because why should you have to pay for something I should be responsible for?
However, this is the very situation that is occurring all the time when it comes to paying for medical costs that are a result of someone else’s actions. Of course, this can make it very difficult to balance your budget come month end because you have a substantial additional bill to pay, and you may not even be able to work because of your injuries causing your funds to be depleted even more!
That is why it’s crucial that you find someone that is experienced when helping with injury claims and that can construct a case against the person whose fault it actually is. After all, why should you suffer not only the pain of an injury but the financial problems associated with keeping up with expensive medical bills, all because of something they have done?
Your debt is so massive that it’s dragging your budget down with it.
In theory, no matter how big your debt, you should be OK, as long as you budget enough to cover it and your living costs as well. However, what many people forget to their detriment, to factor in, is the additional fees and charges having a lot of debt can cause.
After all, the more you owe, the more interest you will be charged, even if you aren’t actually paying any of the original debt off. That means less money for you and not long-term financial benefit. Therefore if you want to make sure you can stick to your budget faithfully, factoring in any additional costs, and if possible reducing your debt can help a great deal.