5 Ways to Simplify Your Budgeting Routine

Sun, Apr 20, 2014

Budgeting

Every responsible consumer has some sort of budgeting process they use to pay their bills. The problem is that budgets can start to get complicated when more bills get added and the income situation changes. It is great that you want to keep track of your money, but it can be frustrating when you make it complicated.

There are some ways that you can reduce the frustration that comes with a complex budgeting routine. The important thing is to make sure that your bills always get paid, but it also helps when you can keep accurate accounting records as well.

Use Online Bill Paying Services

Mailing out checks to pay your bills is one of the reasons your budget is so complicated. It can take days, and sometimes even weeks, for the payment to clear from your account. By the time it clears, you may have already spent the money out of your account and another check bounces.

Pay your bills using online bill pay services instead. You can schedule payments so that you know exactly when they will be paid, and most online payments hit your account in a day or two.

Make A Real Budget

If your budget is complicated, it could be because you do not have it in a computer spreadsheet. Computers tend to make everything easier, especially paying the bills. All you have to do is create a budget that allows you to keep track of each bill you pay and you will never be confused as to what bills have been paid and which ones have not.

Allow For Some Flexibility

One of the reasons that budgeting routines get complicated is because people try to account for every penny and every expense. Life changes from week to week and it is impossible to create a budget that encompasses everything.

Instead of specific categories for your expenses, you should just create general categories such as food and entertainment. Allow yourself the ability to move money from one category to another to compensate for changes that happen during the month. If you need a few extra dollars for medical expenses, then move it from the entertainment budget and stay home one weekend during the month.

Have A Filing System

There are a lot of people who feel better getting paper bills in the mail each month and then paying those bills online. That is fine, as long as you can keep those paper bills organized. Develop a filing system that allows you to separate paid bills from unpaid bills, and keep your unpaid bills someplace where you can easily access them. You will be shocked at how much easier it is to pay your bills when you know where they all are.

Stop Getting Credit Cards

The idea of getting a credit card for the local home improvement store so you can easily keep track of all of your home improvement purchases is one of the things that is cluttering up your budget. Stop getting store cards and put some serious thought into paying off the ones you have. The more credit cards you have, the more bills you get and the more complicated your routine becomes.

Paying your bills is already frustrating enough. You don’t need to make the process complicated by being disorganized or adding more bills to your budget. Be smart and you will be able to simplify your budgeting routine.

 

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