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Money Tip: Leave Some Room in Your Budget

Restrictive budgets are certainly not for everyone but that doesn't mean you're not meant to be a budget person at all. Some people need to keep a tighter financial leash than others, and your budgeting practices should reflect how well you know yourself. If you cannot spend less than you earn without a spending plan then you're more likely to benefit from a categorized budget every month.

For those of you feel too constrained by a strict budget but would be better off following a spending plan, simply leave some leeway in your budget. Set a budget using ranges instead of exact numbers and stay within the range. Once you're in tune with your spending habits you could reduce the range over time for added challenge.


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