When you fail to budget, budget to fail.

By Darren Brown

Recently, I was part of a financial wellness seminar held on the zoom platform, where varying financial topics were discussed. There was one noticeable response that drew my attention. The participant typed in the chat window “budgeting is so depressing”. Other responses indicated similar sentiments, which has over time caused many to abandon their budget. I am reminded of a similar discussion held with a friend who was adamant: “mi just can’t bother with budget, am not good at budgeting, mi just want to live mi life” she remarked. I told her that maybe it was not that she was bad at budgeting, but she was using the wrong methods to budget. Intrigued, she asked for more details, and I shared a few reasons why budgets fail.

1. Unrealistic budget – Most budgets fail, not because of the bills but because of other unaccounted-for expenses. A true budget accounts for all your spending in the month. Take, for example, the fact that you generally spend $20,000 on food monthly, but in fact it’s closer to $30,000; then this is what must be in your budget.
2. It was too rigid; there was no room for flexibility in the first place-If you have been budgeting for years, best believe that no two, three budgets look the same. As your life changes, so does your budget. If you have a special event coming up, like graduation of your child, it needs to fit in your budget. As you can see, budgeting is not a one-time event. It involves finding the right method that works for you, giving yourself time to understand your spending, and tweaking your budget along the way.
3. Put a little fun in your budget-We must be realistic about budget. If you have been consistently sticking to your budget goals, you can have a treat every now and then. Fun money also helps you remember that a budget isn’t all about restrictions. Money expert and bestselling author Rachel Cruze puts it like this: “A budget doesn’t limit your freedom. It gives you freedom.” Therefore, budget to go to the movies, eat out at a new restaurant, or go on family vacations.