Tuesday, February 1, 2011

The Three Popular Myths about Spending Plan(Budgeting)

 The first myth is “To leave on budget is a sign of not having enough, or to be stingy”. 
The truth is living on budget is actually a discipline that will position us to have more.  In fact we will have enough to cover our basis and not deprive ourselves or our family in the most important area of our lives. 
The second myth is that “for someone to invest he or she have to have a lot of money or surpluses”.  Another lie most of us believes.
The truth is every spending decision is an investment decision.   (E.g. When I get the bonus check do I plan a vacation or pay my credit card?)  Do I go out and eat or do I put it to the emergency fund I am working on?)
The third myth is “If I just work harder and make more money I will be OK and need not to live on a budget”.   
The truth is if I do not have the discipline to live within my means then making more money will position me to spend even more.

Plain Truth
“Getting wisdom is the most important thing you can do!  And whatever else you do, get good judgment.”  Proverbs 4:7

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