Tip 1. Plan to Spend
Reduce Stress by Budgeting Money

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Planning your spending reduces stress. And budgeting your money brings financial peace.
Budgeting money is planning spending.

Planning Reduces Stress
and Brings Peace

More than winning the lottery,
more than landing a new job,
more than having wealthy parents,
more than a raise,
more than a large emergency fund...

Budgeting your money brings financial peace!

Have you ever planned?

Have you ever planned your vacation? Researched, read, scheduled the itinerary....
Wasn"t that a relaxing vacation?

Have you ever planned a party? Created the invitation, bought decorations, made the food....
The party went smooth as icing, didn"t it?

Have you ever planned your spending? Figured out how much money you have, listed out what you have to buy, paid your bills...
Only to give up in frustration?

Why is planning my budget so much harder than planning my vacation?

The difference is in the complexity and reach of budgeting:

Budgeting money covers every income and every expense on every day of our life in every part of our life.

Planning is necessary to accomplish a set purpose. Our purpose is to spend our money. That has proven to be very difficult without overspending. We can reduce stress by reducing overspending.

Budgeting money is especially necessary when we have so many expenses competing for our money.

The condensed budgeting method I use has about 7 categories. Each category has anywhere from 2-10 expenses. I would surely forget something if I did not make a plan for my income. And that raises my blood pressure.

Let"s say you receive a $20,000 inheritance:

What would happen to that money if you did not make a plan for it? It would slowly disappear until none of it was left and you had nothing to show for it.

But what if we plan to spend it?

• $15,000 will pay off your credit cards
• $1,000 will fill up your starter emergency fund
• $1,200 will put insulation in your attic
• $900 will repair the transmission on the car
• you can send $900 to your favorite charity
• you can save the last $1,000 for Christmas

Now what do you have to show for that inheritance?

You"re out of consumer debt, you have an emergency fund, an improved home, a reliable vehicle, a happy heart, and an opulent Christmas season ahead!

Frittering away twenty grand would be maddening, but budgeting money to actual expenses brings incredible peace. You know where the money is going. None of it will get lost.

The same concept applies to your regular budget. Make a plan for your income as it comes in, and none of it will disappear.

Fights about money, however, will disappear. Making a budget for your hard-earned income will reduce stress in your household.

Budget your money.
Reduce your stress.

Budgeting reduces stress.