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Planning A Budget – Solve Debt Issues


We think negatively when we hear the work “budget” – basically, it is just a simple plan to have a better picture of your incoming and outgoing funds. It is a way of steering and taking control of your money.

Who should budget?

Anyone will benefit from a budget, it is not just i8mited to people who are having financial problems. One will be able to distinguish and realize the difference between feeling in control and being able to plan ahead.

If you are spending less than what is coming in, you can use a budget to work out how much you can “save” each payday. We call it “paying yourself first”.

If you are spending more than what is coming in, you can use a budget to see where that extra fund is being spent with. And you can also check on where to cut down when it comes to additional expenses.

Building your budget

In creating your budget, we simply add up how much fund is coming in and out of the household coffer, then work on the difference.

The result will either money left over (surplus) or not enough money to cover the spending (deficit). Your aim is to “save a surplus so you can have some funds left in your pocket, or to save for your goal/s, or use to pay off debts.

Use a budget planner

There are various budget planner that can be downloaded. Check online which of the budget planner app fits your budgeting needs.

What is needed to have a budget?

Your budget needs to be accurate, or it will not work. We can’t fudge it! Few things to do:

Record your daily spending. – Receipts, bank statements, and bills from the past 3 months. This will show all your regular expenses.

Make a list of annual costs. - These are things we pay for less regularly like vehicle-licensing, medical expenses, gifts and holidays.

Income info. - Any money such as pay, benefits or allowances or interest earned on savings.

Savings. - Details of any regular savings we already have.



Track your spending

Once you’re done in setting up your budget, you need to observe how it is working in reality. You can also keep a spending diary or use an online tool or phone App. Then you can adjust your budget as needed.

Making the most of your earnings

Budgeting is not just about watching our spending. How much we earn or save also affects whether we have excess money for saving or paying off debts.


If your income doesn’t grow, you’ll effectively earn less each year just because of inflation. Hence, you need to plan your needs to include goals for growing or increasing your income, as well.

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