Budgeting 101: Learn the Basics – FOX Detroit (video)
- May 12, 2015
(WJBK-TV/FOX Detroit) –Â We work. We get paid. We still have no savings. How do we fix that? The first and most important step to effective financial planning is developing and implementing a budget.
Andrew Johnson from GreenPath Financial Wellness says budgeting simply means to live within one’s financial means. But there are steps you need to take to get there.
Needs versus wants – Sometimes you have to say out loud “Do I really need this, or do I just want this?”
Building a budget – This helps put your money needs into perspective. Budget for a few months and take into consideration infrequent needs like new clothes, or insurance you might pay on a quarterly basis.
Set realistic goals – If it’s hard for you to see saving up $300, break it down into saving $10 a week for 30 weeks. Set up goals, that, while attainable are ones you feel confident in accomplishing.
Watch the video below with FOX Detroit Money/Business Editor Murray Feldman.