What size budget is suitable for me to start with a beginner

 What size budget is suitable for me to start with a beginner

Starting a budget can be a great way to take control of your finances and ensure that you are saving and spending your money in a way that aligns with your financial goals. If you're a beginner, it's important to start with a budget that is realistic and manageable, rather than trying to make significant changes all at once. Here's what you need to know about determining the right budget size for you.

Consider your income: The first step in creating a budget is to determine your total monthly income. This should include all sources of income, such as your salary, any freelance work, and any other sources of money that you receive on a regular basis.

• Track your spending: Before you can create a budget, you need to have a clear understanding of where your money is going. This means tracking your spending for at least one month to see where you are spending your money and how much you are spending in each category.

1. Identify necessary expenses: Once you have an understanding of your spending, you can begin to identify which expenses are necessary and which are discretionary. Necessary expenses include things like housing, food, transportation, and healthcare. Discretionary expenses are those that are not essential, such as dining out, entertainment, and shopping.

Determine your savings goal: It's important to have a specific savings goal in mind when you start a budget.

 This could be an emergency fund, a down payment on a house, or a specific amount of money you want to save for a trip or other big purchase.

Start small: When you're starting a budget for the first time, it's important to start small. This means setting a budget that is realistic and achievable, rather than trying to make significant changes all at once.

 You can always adjust your budget as you go along, but starting small will help you stay on track and not become discouraged.

In conclusion, the size of budget suitable for a beginner depends on their income and expenses. Start by tracking your spending and identifying necessary and discretionary expenses, then determine a realistic savings goal. Start small, and be flexible, you can always adjust your budget as you go along. 

some more information on budgeting as a beginner.

Prioritize your expenses:

•  Once you have identified your necessary expenses, you can prioritize them based on importance. This means focusing on paying for your most essential expenses first, such as housing and food, and then allocating any remaining money to discretionary expenses and savings.

Use budgeting tools: There are many different budgeting tools available to help you create and manage your budget. 

From simple spreadsheet templates to more advanced budgeting software, you can choose the tool that works best for you and your financial situation.

Review your budget regularly: To ensure that you are staying on track with your budget, it's important to review it regularly.

 This could be weekly, bi-monthly, or monthly, depending on your preferences and the frequency of your spending. Regular review of your budget can help you identify any areas where you can improve and make any necessary adjustments.

Be flexible: It's important to remember that a budget is not a one-time event, but rather an ongoing process. 

As your financial situation changes, you may need to make adjustments to your budget to ensure that it remains realistic and achievable. Be flexible, and don't be afraid to make changes as needed.

Celebrate your successes: Finally, it's important to celebrate your successes along the way. Whether you've met a savings goal, paid off a debt, or simply stuck to your budget for an entire month, take time to acknowledge and celebrate your progress. This will help you stay motivated and continue to make progress towards your financial goals.

Starting a budget as a beginner can be a great way to take control of your finances and achieve your financial goals. By following these tips, you can create a budget that is realistic and achievable, and that will help you build a strong foundation for your financial future.Good luck!