Budget 2015 – Personal Finance Planning for the New Year
Did you make any personal finance planning resolutions that you wanted to initiate with the onset of the New Year last year? If you did take this budgeting step, did you experience success, or, did you experience what many refer to as a “financial washout” throughout the year? While December is often a month where we are commonly engaged in preparations for the upcoming holidays and wrapped around the joys that are related to the holidays, it is also a month that should be spent in reflection of the year that is about to pass. It is time to look to new beginnings with the arrival of January 1st – especially when it comes to your money. In this Budget 2015 guide, you will learn how to take control of your personal finance planning by learning how to build a budget and a few tricks that will assist in making sure that you achieve the financial success that you desire in the New Year.
According to information derived from a report conducting by the University of Scranton that was posted in the publication called, “Journal of Clinical Psychology”, an estimated 8% of all individuals that make resolutions for the New Year actually achieve success in achieving those resolutions. As a result of this fact and the fact that you are taking the time to read this guide, it is quite likely that your budgeting resolutions that you made for 2014 were not successful. Perhaps you did experience a bit of success, but, not all that you desired. The good news is, with each start of the year, you have the ability to start fresh and make an attempt, once again, to get your financial affairs in order. The very first step to succeeding in your budget 2015 goals is to learn how to build a budget. There are many different home budget template options available online to get you started.
Gaining control over the money that you have is critical. It is important for your financial well-being and it also helps create a peace of mind. By finding a home budget template and learning how to build a budget, you will feel as if you have complete control over your money and will be better able to save funds for short-term goals and long-term goals. The following outlines the most basic and easiest method for constructing a budgeting plan for 2015:
- You must first determine what your personal finance planning goals are for the New Year. All budget 2015 success will be centered on that which you hope to accomplish throughout the year and for years to come. Examples of goals may include eliminating credit card debt, paying off a loan, acquiring ownership of a vehicle or a home, and saving a certain amount of money by the end of the year.
- The next step in a home budget template should include information about your net worth, or, “income”. You should avoid thinking that you have your total salary to spend. The total salary is subject to Social Security deductions, taxes, and other deductions you may have, such as a flexible spending account or a 401(k) plan. The amount that you actually receive or “take home” is the amount that should be used when learning how to build a budget for personal finance planning.
- The next step in creating a 2015 budget is to divide the income that you have by “Fixed Expenses” and ones called “Variable Expenses”. Fixed expense examples include a mortgage and a car payment. Variable expense examples include the amount of fuel your vehicle uses and amounts that you spend on entertainment. Once you write all of this down, track how much you contribute to each. In order to make this easy, you may use resources such as a personal budget spreadsheet or software tools that assist in budgeting.
- As you begin the process of tracking your expenses to determine where the money is going in your budgeting, you may then start to prioritize your expenses and eliminating unnecessary expenses.
- Make the necessary changes in your personal budgeting and stick to your goals.
As you can see, budgeting is relatively easy. Learning how to build a budget with a home budget template is also easy. The true challenge lies in your ability to stick to your budget. The purpose and intent of this type of personal finance planning tool is to determine how you are capable of spending less and saving more money. In addition to this, a budget will allow you to eliminate financial hassles – such as credit card debt – and enjoy financial rewards – such as purchasing a home. Simply stick to the information contained in this guide and stay committed to your goals, and you are sure to experience the financial budgeting success that you desire in 2015!