Women Today

Gina Nytes, Kaukauna branch manager for Citizens Bank, brings us this week's financial tip:

A budget may not seem like something that is necessary for most families.

When it comes to supporting a family, there is nothing more important than creating a family budget that not only everyone can live off of and that is truly beneficial to the financial security of the family.

By preparing a workable budget you know exactly where your money is going and you can plan for emergencies. A true budget allows for the things that are important to you, including entertainment expenses and the occasional shopping spree.

Even though you might want to give your family everything that they need and want, most people’s budgets are limited. Preparing a workable budget allows you to stay within your means to follow your plan. The financial future of your family depends on the actions that you take now. Here are some helpful tips to get you started:

• Think about all of the unnecessary spending that happens on a daily basis in your household. Most of the time people do not really understand the amount of money that they are spending on items like fast food, expensive coffee or snacks at the gas station. These are items that a person can go without. Cutting these expenses will help you save money.
• In order to get yourself and your family set up on a budget that is reasonable, you will first need to figure out what you earn each month and what are you monthly expenses. Once you have everything written down, you will be able to see how much money you truly have remaining each month after expenses are taken out.
• Next, take the time to figure out where expenses can be cut. However, be sure to save some money for things that are important to your family such movie or pizza night. You don’t want to completely eliminate all entertainment spending.
• Build a savings account so you and your family have money in the bank for emergency situations. This will allow you to depend on your cash instead of credit cards.
• Lastly, continue to reduce any debts that you and your family may have. Even if this is only an extra $20 dollars a month, that is $240 a year put towards paying off the balance of your debt. It all adds up over time so every little bit helps.
While it may seem like hard work at first, it will get easier with time. In the end you will see just how beneficial a workable family budget is when established.