Six Keys to Budgeting Success

by Nancy Twigg
Nancy Twigg is the editor of Counting the Cost, a free bi-monthly Christian e-zine devoted to everyday abundant living at its best. Topics include experiencing life more joyfully, using our time and money wisely, building stronger family relationships, and spiritual enrichment. To subscribe, send a blank e-mail message to: countingthecost-subscribe@topica.com or visit Nancy online at www.countingthecost.com and subscribe there.

Although many people cringe when they hear the word "budget," our family budget has come to be one of my best friends.

One key to abundant living for us is financial peace -- knowing that we are living within our means while setting aside money to meet short-term needs and long-range goals.

If your family is having trouble in this area, consider these six keys to successful budgeting:

SIMPLICITY

If your budgeting system is too complicated, you probably won't stick with it very long. Start with a system that is simple for both you and your spouse.

CLARITY

Be clear about your goals and what you wish to accomplish. Make sure your budget reflects what is most important to you. For example, if you say giving to charity is important but you don't budget for it, guess what will happen? It probably won’t get done.

FLEXIBILITY

It takes time and experimentation to find a system that works for you. Be flexible. Don't give up if a particular method doesn't work; just keep at it until you find one that does.

REALITY

Be realistic in your budgeting and financial goals. If you aren't, you set yourself up for failure. Strict budgeting is like strict dieting. It's hard to keep at it for very long. When possible, give your budget a little breathing room.

UNITY

Is there a particular goal you are working toward? Maybe the goal is for Mom to be able to stay home with the kids or the family paying off all credit cards and getting out of debt. Budgets work best when everyone in the family understands and agrees on the end goal.

CONSISTENCY

An exercise program won't work if you don't stick with it. Neither will a budget. You have to be consistent, not on-again-off-again. If you spend more than you should one month, it's not the end of the world. Just buckle down and commit to doing better next month.