The purpose of a budget is to plan out what your money will be used for over a certain period. You can budget for a day, the next month or year. You budget so that you can account for your expenses beforehand and have a view of where your money is going. Budgeting is important whether you are a student or professional, regardless of how much you make. A budget helps you identify how much you spend. So, budgeting should be simple, you plan for your money. Well, it is not always that simple, many people sabotage their budget, and I am going to detail some, but not all, of the different ways. See if you can identify some of your habits.
Lack of discipline
The biggest reason for killing a budget is having no personal discipline. Where you decide you will only spend 1000 on leisure, but then you scroll online and see a pretty 2000 skirt. Then you decide that skirt would be nice. The truth is you cannot afford that item and instead of sticking to the budget, you decide to spend some money.
Family
If you are South African, you know what the term “black tax” means. This can come in different forms, relatives continuously asking you for money just because you are related, family making you feel bad for not spending on them and you spending money on relatives that would not do the same for you. This is a tricky one because it can be hard to say no to family. My suggestion is to make your priorities clear to your family and say nowhere the request is not for an emergency. This can be hard if you are married to a person who has black tax issues, in that case, you definitely need to have a conversation.
The influencer life
I do not have a problem with influencers, in fact, I admire how they work hard for their money. I do have a problem with impressionable people living beyond their means to try and be on-trend. This includes wanting to spend certain amounts of money to impress your friends. If you want to look like a big spender in front of your friends, this better be in your budget. If you go out with your friends do not suddenly offer to pay the 1000 bill if you know you only afford your meal. Proving you have made it to your friends does not equal wealth.
Whether you are a student who gets spending money from parents or a young professional getting a salary, a budget and discipline are two important things. There is way more that goes into a budget than what I have mentioned above, but I hope this gets your thinking.
