Budget Myths: 8 You Should Never Believe
Budget myths debunked! Have you ever taken the time to notice that our points of view are directly related to what our life experiences have been and the circumstances we have faced? For example, for some they grow up where money was something that my parents occasionally fight about. So if that was the case for you to then you may have learned from a young age that people tend to argue over money. This may even lead you to have a negative view of money or even associate money with a sense of unhappiness.
In the opposite case a child that grows up in a household where the money is never even spoken of, you may learn that money is simply taboo. We as humans are impressionable so we develop our opinions about money, budgeting, and saving from the people we are around most. Which can lead us to blindly believing budgeting myths that are completely inaccurate?
So think of this circumstance. A young girl goes to college and takes thousands of dollars out a year in student loans and then just sets it out of her mind. She refuses to face the fact that she owes tons of money. Then one-day graduation comes and the reality sets in after school ends. The reality that for the first time she is facing large sums of debt while working a job with mediocre pay.
Now, what if we could put an end to all the budgeting myths out there before we ever succumbed to believing them.
For instance what if you just simply knew the truth right out of the gate about budgeting instead of believing the lies that we have been told throughout our life. That is why I have rounded up 8 super common myths about budgeting that many people believe. Have you ever been told any of the myths below? Get reading!
Not confident about where to start? Don’t worry sign up for my Powerful Budgeting 7-Day Email Course and be on your way to budgeting with success.
1. Horrible With Math
Many people hate math and may even be bad at math. In fact, it can be a flat out struggle for so many. But here’s a secret that you probably already knew but refused to rationalize. So don’t be someone that refuses to budget because of thinking you don’t have adequate math skills.
The plain and simple is you don’t need to be good at math in order to budget successfully. So you can just throw that excuse (YES, it is an excuse) right our the window without ever looking back.
Basic math skills are all that you need! You don’t need to be a math wiz at algebra or calculus to create a super-powerful budget.
The truth is you only need a 5th graders math level! So don’t fall for the myth just because you are bad at math or you don’t like math that you can’t have a successful budget.
I don’t have to be the one to tell you that budgeting has wayyyyyy more to do with being an adult that is responsible for money than our personal math skills.
No more dilly-dallying!
2. Feeling Stuck In A Rut
There is a very common and very stupid budget myth out there that your budget should and would be the exact same each and every month.
Typically people create and write their budget once and try to mold their lives so it fits. THIS IS SO WRONG! It is actually the very opposite of how your budget should work.
Instead, you should be more vigilant! Take a look at your calendar and pick apart what you have coming up in the next month and how it could affect your budget. Ex. Are there any holidays, or special events coming up? If there is you need to include it in your budget. Are you wanting to travel more often? Simply start budgeting for it now.
The reality is our monthly bill can even change from month to month. For example, your power bill looks much different in the summer than it does in the winter. Just like in the summer you may spend more money on recreation than you would during the winter.
Just because your budget is always changing that doesn’t mean you should just right off the entire idea.
You can choose whether you want to budget monthly or weekly. Do whatever you need to do to make it a priority.
3. You Won’t Have Any Fun And It Will Be Restrictive
This is a widely believed myth that creating a budget will completely restrict all of your fun. And I’m sad to say that this is one of the myths that I used to believe.
In fact, if I am being honest I really thought it would mean never having fun again and sitting at home with my husband most of the time eating cheap meals on the couch.
In this case, I am thankful to be WRONG! And I am grateful that I was open-minded and learned that living by a budget doesn’t mean I won’t have any fun again. Instead, it just means that I have to plan in advance for fun activities.
How this may look is calculating out how much money you need to have for a weekend getaway. Or figuring out how to budget for eating out once a week with friends so you can set it aside.
But don’t just simply use the petty excuse “I’ll never have fun on a budget.” Take charge and stay in control.
4. Debt Free Means You Don’t Need A Budget
I am nowhere near debt-free, however, I know that I will continue budgeting even once I am debt-free. This because a budget is still very useful and helpful when you are debt-free.
The truth is I didn’t always feel this way about budgeting. In fact, I was looking forward to the day that I would never have to budget again, but I have changed my tune greatly.
I am actually proud to say that in a sense I am a budget nerd and enjoy it. But that isn’t always the case. So many people often stop budgeting completely after conquering debt.
I don’t want that to be you, so don’t use it as an excuse to quit budgeting.
It is true that budgeting helps you pay off debt quickly, but even once you overcome your debt you should continue writing a budget each month. After all you don’t want to go back into debt! So you should do everything in your power to ensure it doesn’t happen, even if it means budgeting for life.
This is especially important when you have financial goals you want to meet.
Just let your budget tell your money where to go.
5. Unable To Budget On An Irregular Income
This is a myth that many people will continue to believe even after they have been proved that it is false.
And I can understand being skeptical.
It can be very frustrating to not know when you are getting paid and how much your income will be. But these are still not excuses to not budget. In fact, it may be even more of a reason to live by a budget.
Check out this POST HERE for tips on how to budget on an irregular income!
It may feel like you are defying all odds and going against everything, but just remember it is possible and many people are successfully doing just for.
6. No Time To Budget
The truth is if you have time to irresponsibly spend money then you have time to make a plan for your money.
You do have time to create a budget!
It may seem like you are always busy but are you really? I’m not trying to diminish what you do. But are you really TOO busy to budget or are you just not prioritizing what is important.
When you make the choice to make your budget a priority for you will be shocked at the decreased stress level you will feel and what you actually do have time for.
If you are looking for a tool that can help you save time when creating your budget I recommend using YNAB. It is a great resource and it is even possible to use the app while you are on the go. Perfect for the busy wife, and mother.
7. Your Spouse Isn’t On Board
These hard conversations are unavoidable.
Money is a touchy subject to bring up, but it is crucial to your financial health, and the health of your marriage.
To do this you will have to take the time to sit down and get on the same page about your personal financial situation and your financial goals for the future. If you don’t then how do you expect to have the same priorities and work towards your goals as a team.
Maybe one of you is more eager and willing and that is okay. So that person needs to be the one to take charge and start tracking the household spending habits.
Download a spending tracker HERE!
Try setting aside a specified time each week for a family meeting so you can openly discuss your spending habits and make the required changes.
It will also show your commitment level to budgeting and hopefully help your spouse to see the importance. It will also give you the opportunity to celebrate small victories and discuss your financial progress.
Your determination to be consistent and succeed will eventually move your spouse to get on board.
8. Too Late In The Year To Start
It does not matter when you decide to start budgeting. Literally, anytime you choose is a good time.
You can start one today! In the middle of a pay period, in the middle of the month, or the end of the year. It does not matter!
All that truly matters is that you make the choice and commit to starting! Everyone has to start somewhere. You won’t be able to start changing your spending habits and start spending with intention until you do.
So don’t let a holiday, or special even stop you or hinder you in any way from making a financial change for your future.
Don’t know how to budget properly? That is okay! You just have to be willing to learn.
There is no better time than the present to start making a change that will benefit you long term financially.
I’m not going to try and trick or fool you into thinking that it is easy! It Is Hard And It Will Be A Challenge! But you’re up for it!
Learning how to manage your money with the success that you can be proud of will be one of the most rewarding challenges that you can overcome. And by following through you will show yourself that you are capable.
It is well worth it and it is something you will NEVER regret doing. So don’t brush it off!
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