So you’ve set up your family budget … but it’s in deficit. How do you cut it back to ensure you live within your means but still enjoy a nice lifestyle?
I was in this exact position the first time I set up our family budget about two years ago. After more than 10 years as a working mum, I was about to leave work to spend some much needed time at home with my family. But that meant dropping one whole income, so obviously our budget wasn’t looking particularly good and our family was spending more money than we were making.
Our family budget allowed me to see where all of our money was going and made it much easier to find areas where we could cut back to make up some of the loss.
Here are a few tips to help get your budget back on track and hopefully looking a little healthier.
Let’s face it, budgeting isn’t much fun. But when you’re living on one income it’s kind of a necessity.
Before making the decision to walk away from my career to spend more time with my family, I crunched some serious numbers to figure out how we were going to drop one full time income.
Through that process, do you know what I discovered? That there’s actually something quite satisfying about seeing our money trail written down on paper or the screen and realising that it could be done. That there wasn’t any reason why we couldn’t live on one income, besides not wanting to.
After more than 10 years as a working mum, I’m extremely grateful that we are currently in a position to allow me to be a stay at home mum. But the change has brought along plenty of challenges.
Living on one income has involved a major change in mindset for our family … and it’s certainly a work in progress. If there is anything that living on one income has taught me, it’s questioning just how important particular purchases are compared against others. You really need to want to make it work.
I’ve had this blog post on the to do list for some time now. But in all honesty, I felt like I needed to ‘walk to talk’ for a while before I could start making suggestions to others interested in doing the same.