Although personal finance includes variety of concepts, it starts with a simple tool – personal finance budgeting. If you have a requisite budget, you don’t have to worry about your funds, it’s all safe.
Instead of deepening into the significance of personal finance budgeting, let’s get started with how to go about with it. Here is a 5 step crash course in budgeting.
1. Analyze your Expenses and Income
First step includes jotting down your expenses and income. Period. You don’t have to break it up into any categories. Do not, however, forget to mention every source of income, every penny that comes to you whether it’s birthday check, inheritance, salary, and so on. Same applies to expenses as well. Do not miss out on anything to have a proper, accurate budgeting tool.