I was on a forum thread this morning discussing why budgets do not work. One of the members said that, It has always been our behaviors and lifestyle that has driven our spending.

There is so much incredible truth in that statement I think I will write an article on this very theme. Whether you are on a budget or not, overspending or underspending, it really is your behaviors and lifestyle that drive your spending.

And, what kind of spending is your lifestyle driving you to? Let me know if you need some help. That is what I am here for.

Until next time .....

David Kimball

Do you know why budgeting does not work? There are a lot of reasons, but here is the big one: Not making it personal.

With budgeting, I take a sheet of paper and list my income at the top. And then I start listing down what I have. A car payment, a house payment. We have utilities, groceries, etc.

Have you ever done that? That's what a budget is – but it's only 20% of making this thing work what we call a financial plan.

It is more than that. It is personal finance and you have to make it personal. And if you do not make it personal, it will never work.

So 20% is listing your income minus your expenses on a page and the other 80% is personal. It is habits, it is behaviors. It is changing you and your family.

And if you do not change yourself, your finances are never going to change.

Digging Deeper

The American spending habit mentality of living beyond your means has created more people deep in debt than are actually out of it. What does this mean exactly? And are you one of them? Do you need to learn how to manage money a little better?

Living beyond your means implies that you are spending more than you should be, and more than you can actually afford to pay out every month.

You are spending more than you make.

This is quite a big problem and a main reason why you may now need help with debt problems. If you look at your own situation and see there is a possibility that you are creating a big pile of excessive credit card debt, here are three indicators that your suspicions are true.

Continue reading ...

A Little Perspective

Put not your trust in money , but put your money in trust./i>. Oliver Wendell Holmes, Sr

He becometh poor that dealeth with a slack hand: but the hand of the diligent maketh rich.. Proverbs 10:4

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It is my passion to help families prioritize now to make sure that one parent can stay at home. If diligent, you can be debt-free in 36 months or less without buying insurance, investments or magic software. This is advice you can trust because I do not sell any of these things.