Trim Your Budget – Personal Financial Goals 2 of 6

One of the most important personal financial goals is having a budget. We have talked a lot about this in our past blog posts. So today, we will focus on how to trim your budget. First of all, there are a lot of reasons that you may need to trim your budget. Maybe your income or expenses have changed. You could be expecting a change in your life that requires you to adjust your priorities. Regardless of the reason, it is also a good idea to go through your budget with a careful eye at least every few months.

Consider What You Really Need – Personal Financial Goals

This first point is kind of obvious and is likely everyone’s go-to. That being said, I encourage you to dig deep on this one. How deep you need to dig depends completely on the extent to which you have to trim your budget. However, every discretionary line item can be considered. Take makeup and beauty products for example. There is always going to be a $5 version, a $15 version and a $40 version. You can grocery shop at Whole Foods, Meijer or Aldi. There are choices in almost every budget category. Really consider what is a need and what is a want or a convenience. This alone should get you started!

Don’t Forget To Shop Around – Personal Financial Goals

I recently shopped around for an eye exam and glasses and the difference in cost was incredible! I saved over $100 combined on my frames, lenses and exam. Maybe you LOVE your ophthalmologist or maybe he is a family friend. Either way, remember to consider that YOU have a choice, and don’t be afraid to put some effort in to finding the best fit for you AND your budget.

Get Your Emotions In Check – Personal Financial Goals

This one is often overlooked, but guilt can play a significant role in our financial and budgeting decisions. Saying no to happy hour with friends or skipping out on a birthday bash may feel awful at the time. Don’t let guilt drive your budget. If you are in a tight financial spot, it’s okay to say no to a friend’s wedding. It is also okay for you to turn down an invite to the mall, but suggest a walk in the park later.

In closing, creating your budget, and trimming it when needed is a wonderful financial skill. The pleasure of accomplishing your goals and being smart with your money will outweigh the pain of these tough decisions!