How to Stick to Your Personal Budget

In today's society, it's hard to stick to a personal budget. We're a culture of debt and credit cards, and we all love to spend more than we have. When we decide to be more responsible with our income, there seem to be pitfalls all along the way. Here are some tips that will help you stick your spending goals.

First, keep your budget and budgeting methods simple. I'm a total nerd, so it's easy for me to get caught up in spreadsheets, highly detailed financial reports to myself, and lots of receipt counting. Make sure you know where all your money is going, but don't go overboard with a complex system that will confuse you later on. Breaking your income into spending categories and keeping track of it with a register on paper may seem old fashioned, but it's awfully effective.

I also suggest you switch to a cash-only system. Swiping a credit card is so easy to do, but actually handing over physical bills hurts a little bit, because you see the actual money leaving your possession. A cash only system is especially good for "impulse" buys like snacks & drinks, the impromptu movie, or an extra CD at the record store. I personally use a cash-only system for everything except for utilities and rent, which I pay online. Once my food & fun money is gone from my wallet, it's gone for good till I get paid again.

Another great strategy is to carry a copy of your budget with you at all times. Just a folded up little piece of paper in your wallet or purse will be a quick reminder to see if you can afford that purchase you're thinking about. Also make sure to jot down everything you spend money on, so you can keep track of how much you're spending and where.

Think about asking a more frugal friend to come with you when you shop. Share your budget goals with them, and pick their brain on how they save money. I'm blessed to have a very shopping-savvy wife that has an eagle eye for bargains. She manages to find deals I never would have even thought to look for!

Finally, always give yourself a little bit to splurge. Not too much, but always have some fun...buy yourself a CD, go to movies, and spend something on the superfluous. A key part of sticking to your budget is not being miserable on your spending plan!

Remember, don't give up. Sticking to a budget is a skill and habit that must be developed. Even if you don't do so well your first month or two, keep it up! Revise your saving and spending strategies as you find out what works for you, and you'll gradually build money saving habits and discipline. It won't happen over night, but if you stay dedicated and focused on your goals you will save money.