{"id":2160,"date":"2016-09-23T15:38:25","date_gmt":"2016-09-23T15:38:25","guid":{"rendered":"https:\/\/courses.lumenlearning.com\/waymaker-collegesuccess\/?post_type=chapter&#038;p=2160"},"modified":"2024-05-01T18:48:41","modified_gmt":"2024-05-01T18:48:41","slug":"text-creating-a-personal-budget","status":"publish","type":"chapter","link":"https:\/\/courses.lumenlearning.com\/wm-collegesuccess-2\/chapter\/text-creating-a-personal-budget\/","title":{"raw":"Creating a Personal Budget","rendered":"Creating a Personal Budget"},"content":{"raw":"<div class=\"textbox learning-objectives\">\r\n<h3>Learning Outcomes<\/h3>\r\n<ul>\r\n \t<li style=\"font-weight: 400;\">Identify the steps necessary to create a personal budget<\/li>\r\n<\/ul>\r\n<\/div>\r\nEven though you may be persuaded by the downsides of budgeting and think, \"It's not for me!\"\u00a0don't give up until you've tried it. Tracking one's income and spending is a good exercise for anyone, and if you follow the basic process below, it's easier than you think.\r\n<h2>Step 1: Determine Goals<\/h2>\r\n<p class=\"p1\"><span class=\"s1\">The first strategy\u00a0to create a successful budget\u00a0is to determine <strong>w<\/strong><\/span><span class=\"s1\"><strong>hy<\/strong> you are doing a budget. Setting goals will give you motivation to stay focused and on budget:\u00a0something real to look forward to or achieve.<\/span><\/p>\r\n<p class=\"p3\"><span class=\"s1\">Try to set both short-term and long-term goals.<\/span><\/p>\r\n\r\n<ul class=\"ul1\">\r\n \t<li class=\"li2\"><b><\/b><span class=\"s3\"><b>Short-term goals <\/b><\/span><span class=\"s1\">should be things you want to do within six months to a year, such as\u00a0<\/span><span class=\"s1\">paying off a credit card or saving for your emergency fund<\/span><\/li>\r\n \t<li class=\"li2\"><b><\/b><span class=\"s3\"><b>Long-term goals <\/b><\/span><span class=\"s1\">should be\u00a0things you want to do two or more years down the line, such as paying off college loans or buying a car<\/span><\/li>\r\n<\/ul>\r\n<p class=\"p3\"><span class=\"s1\">If you find the thought of making a budget too dreary to contemplate, start with your dreams instead.\u00a0<\/span><span class=\"s1\">Sit down with a pen and paper and list out all your hopes for what you want to do in your life. Consider how the stress of financing these dreams will affect you in the short-term and long-term.\u00a0<\/span><span class=\"s1\">Be understanding of yourself, but also be realistic by asking, \u201cWill you be able to do the things you listed at the rate you are going?\u201d<\/span><\/p>\r\n\r\n<h2>Step 2: Define Categories<\/h2>\r\n<p class=\"p1\"><span class=\"s1\">Making categories helps\u00a0make the budgeting process easier and quicker. Create a category for each of the areas you\u00a0spend money or save money by grouping like items.\u00a0<\/span><span class=\"s1\">Tracking fewer\u00a0categories makes it easier to budget overall.\u00a0<\/span><span class=\"s1\">Make a list of all the things you spend money on and save money for. Once you have your list, try to group items together.\u00a0<\/span>Potential categories might include<\/p>\r\n\r\n<ul>\r\n \t<li><i><\/i><span class=\"s1\">car: gasoline, oil changes, cleaning, upkeep.<\/span><\/li>\r\n \t<li>entertainment: dates, parties, activities, Netflix or other streaming service subscriptions. Anything fun generally ends up in this area.<\/li>\r\n \t<li>food: groceries, dining hall, coffee shops, restaurants, and bars.<\/li>\r\n \t<li>household: food, cleaning supplies, personal care, over-the-counter medicine, and small appliances.<\/li>\r\n \t<li>housing: rent\u00a0or dorm costs.<\/li>\r\n \t<li>gifts: gifts for birthdays, Christmas, showers, weddings, Father\u2019s Day, etc.<\/li>\r\n \t<li>clothing: clothing, shoes, and accessories.<\/li>\r\n \t<li>insurance: auto, rental, health, etc.<\/li>\r\n \t<li>savings: any money going to savings for specific reasons or to a general emergency fund.<\/li>\r\n \t<li>utilities: cell phone, Internet, cable, electric, gas, water, trash, etc.<\/li>\r\n<\/ul>\r\n<div class=\"textbox tryit\">\r\n<h3>Try It<\/h3>\r\nhttps:\/\/assess.lumenlearning.com\/practice\/c1a0437a-1da8-4bc6-97a4-13e379428e51\r\n\r\n<\/div>\r\n<h2>Step 3: Schedule Adjustments<\/h2>\r\n<p class=\"p1\">Getting a budget up and running often works well for a month or two, and then mysterious problems come up. Spending may balance out well initially, but then grow harder to predict or control.\u00a0A key secret: <strong>budgets need attention and adjustment every month<\/strong>.\u00a0<span class=\"s1\">You'll\u00a0have the same expenses every month, but they won't always be for the same amounts. Therefore, your categories of spending will stay the same, but you'll make adjustments to the <\/span><span class=\"s4\"><i>amount<\/i><\/span><span class=\"s1\">\u00a0you budget every month.\u00a0<\/span><span class=\"s1\">For example,\u00a0if your significant other's birthday is coming up, you'll need to consider what you're planning to do or buy for that event, and how that affects other spending for the month.<\/span><\/p>\r\nEach month, consider the following questions:\r\n<ul class=\"ul1\">\r\n \t<li class=\"li3\"><span class=\"s1\">What events or activities do I have coming up?<\/span><\/li>\r\n \t<li class=\"li3\"><span class=\"s1\">Am I\u00a0going to be driving more or less?<\/span><\/li>\r\n \t<li class=\"li3\"><span class=\"s1\">What holidays are coming up, and what do I need to do to prepare?<\/span><\/li>\r\n \t<li class=\"li3\">Is anyone going to be helping me pay for some categories this month?<\/li>\r\n<\/ul>\r\n<p class=\"p2\"><span class=\"s3\">If a category of your budget needs to <\/span><span class=\"s1\">increase its spending<b>,<\/b><\/span><span class=\"s3\"> then another area will\u00a0need to\u00a0<\/span><span class=\"s1\">decrease its spending for that month.<\/span><\/p>\r\n\r\n<h2 class=\"p2\">Step 4: Consider Expenses That Don't Happen Each Month<\/h2>\r\n<p class=\"p1\"><span class=\"s1\">Another challenging\u00a0area for\u00a0budgeting concerns things you know you'll have to pay for, but infrequently or not on a set schedule. Such items include:<\/span><\/p>\r\n\r\n<ul class=\"ul1\">\r\n \t<li class=\"li2\"><span class=\"s2\">taxes.<\/span><\/li>\r\n \t<li class=\"li2\">insurance premiums.<\/li>\r\n \t<li class=\"li2\"><span class=\"s2\">clothing.<\/span><\/li>\r\n \t<li class=\"li2\"><span class=\"s2\">vacation.<\/span><\/li>\r\n \t<li class=\"li2\">health care.<\/li>\r\n<\/ul>\r\n<p class=\"p3\"><span class=\"s2\">You don\u2019t want April\u00a0to roll around and suddenly have to come up with a big amount of money to pay your taxes.\u00a0<\/span><span class=\"s2\">To prepare ahead of time, start\u00a0setting money aside every month in a\u00a0savings account. This savings will become a new category for your spending. You can divide\u00a0things like insurance premiums into monthly chunks and sock that away ahead of time in order to have enough for the lump payment when it comes due. Add an additional amount for less-predictable spending. That\u00a0way, if you encounter a\u00a0big sale at your favorite store, then you can\u00a0stock up and not wreak havoc on your\u00a0budget. It will take\u00a0several months to get a cushion, so take that into account now.\u00a0<\/span><span class=\"s2\">It doesn\u2019t matter what precise system you use. You just need to have a plan for these expenses.<\/span><\/p>\r\n\r\n<h2 class=\"p2\">Step 5: Unexpected Expenses<\/h2>\r\n<p class=\"p1\"><span class=\"s1\">The hardest part of budgeting for most people is unexpected expenses.\u00a0These expenses may be unexpected, and sometimes unpleasant, but you <strong>can<\/strong> still plan for them.\u00a0<\/span><span class=\"s1\">Types of unexpected expenses include<\/span><\/p>\r\n\r\n<ul class=\"ul1\">\r\n \t<li class=\"li2\"><span class=\"s1\">auto repairs.<\/span><\/li>\r\n \t<li class=\"li2\"><span class=\"s1\">home repairs.<\/span><\/li>\r\n \t<li class=\"li2\"><span class=\"s1\">veterinarian expenses.<\/span><\/li>\r\n \t<li class=\"li2\"><span class=\"s1\">medical bills (like co-pays and prescriptions).<\/span><\/li>\r\n<\/ul>\r\n<p class=\"p1\"><span class=\"s1\">If you have a car, plan to have it repaired. The unknowns\u00a0are\u00a0when that will be and how much it will cost. To prepare, s<\/span><span class=\"s2\">et money aside ahead of time. Y<\/span><span class=\"s1\">ou may think, \u201cEasier said than done!\u201d But putting aside as much as possible (and as realistically as possible) will\u00a0reduce your debt as well as lower your stress level!<\/span><\/p>\r\n<span class=\"s1\">There are two ways you can set money aside:<\/span>\r\n<ul>\r\n \t<li><span class=\"s1\">set a lump sum of money aside (the easiest way), or<\/span><\/li>\r\n \t<li><span class=\"s1\">set up categories for these expenses (<span class=\"s3\">like you did for your monthly expenses<\/span>). This method is more time-consuming, but you can track exactly where your money is going.<\/span><\/li>\r\n<\/ul>\r\n<span class=\"s1\">Note: this savings is <\/span><span class=\"s2\">separate<\/span><span class=\"s1\">from your emergency fund. Most financial experts recommend that you have three to six months' worth of income in savings for emergencies.\u00a0<\/span><span class=\"s1\"><strong>Unexpected\u00a0expenses are not emergencies<\/strong>. Emergency funds should be untouched and on-hand for dire situations like losing a long-term job or encountering a major medical issue.\u00a0<\/span>\r\n<h3 class=\"p3\"><span class=\"s1\">How much money should you set aside?<\/span><\/h3>\r\n<p class=\"p1\"><span class=\"s1\">The best way to figure out how much to budget for unexpected expenses\u00a0is to\u00a0list\u00a0all the unplanned expenses you had last year, plus ones you can predict are coming soon. For example, you might\u00a0predict that if you have a dog, he will have to visit the\u00a0veterinarian at least twice a year for unexpected reasons.\u00a0<\/span><span style=\"font-size: 1em;\">Make a list of all unexpected expenses, then e<\/span><span style=\"font-size: 1em;\">stimate how much money you should have set aside for the year.\u00a0<\/span><span style=\"font-size: 1em;\">Take your total and divide it by twelve and set this much aside each month.\u00a0<\/span><span class=\"s1\">It\u00a0might take you a while\u00a0to get enough money set aside. Keep working on saving, and don't give up if you don't always meet your target each month.<\/span><\/p>\r\n\r\n<div class=\"textbox exercises\">\r\n<h3>budgeting apps<\/h3>\r\n<section>\r\n<div class=\"os-note-body\">\r\n<p id=\"fs-idm255869232\">You can write down your budget on paper, use a computer spreadsheet program such as Excel, or you can find popular budgeting apps that work for you.[footnote]See www.techtimes.com\/articles\/80726\/20150902\/best-budgeting-apps-for-college-students-mint-you-need-a-budget-and-more.htm for some good [\/footnote]\u00a0<sup id=\"footnote-ref2\" data-type=\"footnote-number\"><\/sup>Some apps link to your accounts and offer other services such as tracking credit cards and your credit score. The key is to find an app that does what you need and use it.\u00a0Here are some examples:<\/p>\r\n\r\n<ul id=\"fs-idm249431920\">\r\n \t<li><a href=\"https:\/\/www.mint.com\/\" target=\"_blank\" rel=\"noopener nofollow\">Mint<\/a><\/li>\r\n \t<li><a href=\"https:\/\/www.mvelopes.com\/\" target=\"_blank\" rel=\"noopener nofollow\">Mvelopes<\/a><\/li>\r\n \t<li><a href=\"http:\/\/wally.me\/\" target=\"_blank\" rel=\"noopener nofollow\">Wally<\/a><\/li>\r\n \t<li><a href=\"https:\/\/goodbudget.com\/\" target=\"_blank\" rel=\"noopener nofollow\">Goodbudget<\/a><\/li>\r\n<\/ul>\r\n<\/div>\r\n<\/section><\/div>\r\n<h2>The Envelope Method<\/h2>\r\nStill not convinced that making and following a budget is doable? The following video describes a budgeting technique that's very easy\u00a0and straightforward to follow: the \"Envelope Budget.\" Simply placing cash in labeled envelopes (one for each category or purpose)\u00a0each\u00a0month can be a very effective means of building healthy spending habits.<iframe src=\"\/\/plugin.3playmedia.com\/show?mf=6890480&amp;p3sdk_version=1.10.1&amp;p=20361&amp;pt=375&amp;video_id=Ov0sy5AH9PI&amp;video_target=tpm-plugin-ald9x4fv-Ov0sy5AH9PI\" width=\"800px\" height=\"450px\" frameborder=\"0\" marginwidth=\"0px\" marginheight=\"0px\"><\/iframe>","rendered":"<div class=\"textbox learning-objectives\">\n<h3>Learning Outcomes<\/h3>\n<ul>\n<li style=\"font-weight: 400;\">Identify the steps necessary to create a personal budget<\/li>\n<\/ul>\n<\/div>\n<p>Even though you may be persuaded by the downsides of budgeting and think, &#8220;It&#8217;s not for me!&#8221;\u00a0don&#8217;t give up until you&#8217;ve tried it. Tracking one&#8217;s income and spending is a good exercise for anyone, and if you follow the basic process below, it&#8217;s easier than you think.<\/p>\n<h2>Step 1: Determine Goals<\/h2>\n<p class=\"p1\"><span class=\"s1\">The first strategy\u00a0to create a successful budget\u00a0is to determine <strong>w<\/strong><\/span><span class=\"s1\"><strong>hy<\/strong> you are doing a budget. Setting goals will give you motivation to stay focused and on budget:\u00a0something real to look forward to or achieve.<\/span><\/p>\n<p class=\"p3\"><span class=\"s1\">Try to set both short-term and long-term goals.<\/span><\/p>\n<ul class=\"ul1\">\n<li class=\"li2\"><b><\/b><span class=\"s3\"><b>Short-term goals <\/b><\/span><span class=\"s1\">should be things you want to do within six months to a year, such as\u00a0<\/span><span class=\"s1\">paying off a credit card or saving for your emergency fund<\/span><\/li>\n<li class=\"li2\"><b><\/b><span class=\"s3\"><b>Long-term goals <\/b><\/span><span class=\"s1\">should be\u00a0things you want to do two or more years down the line, such as paying off college loans or buying a car<\/span><\/li>\n<\/ul>\n<p class=\"p3\"><span class=\"s1\">If you find the thought of making a budget too dreary to contemplate, start with your dreams instead.\u00a0<\/span><span class=\"s1\">Sit down with a pen and paper and list out all your hopes for what you want to do in your life. Consider how the stress of financing these dreams will affect you in the short-term and long-term.\u00a0<\/span><span class=\"s1\">Be understanding of yourself, but also be realistic by asking, \u201cWill you be able to do the things you listed at the rate you are going?\u201d<\/span><\/p>\n<h2>Step 2: Define Categories<\/h2>\n<p class=\"p1\"><span class=\"s1\">Making categories helps\u00a0make the budgeting process easier and quicker. Create a category for each of the areas you\u00a0spend money or save money by grouping like items.\u00a0<\/span><span class=\"s1\">Tracking fewer\u00a0categories makes it easier to budget overall.\u00a0<\/span><span class=\"s1\">Make a list of all the things you spend money on and save money for. Once you have your list, try to group items together.\u00a0<\/span>Potential categories might include<\/p>\n<ul>\n<li><i><\/i><span class=\"s1\">car: gasoline, oil changes, cleaning, upkeep.<\/span><\/li>\n<li>entertainment: dates, parties, activities, Netflix or other streaming service subscriptions. Anything fun generally ends up in this area.<\/li>\n<li>food: groceries, dining hall, coffee shops, restaurants, and bars.<\/li>\n<li>household: food, cleaning supplies, personal care, over-the-counter medicine, and small appliances.<\/li>\n<li>housing: rent\u00a0or dorm costs.<\/li>\n<li>gifts: gifts for birthdays, Christmas, showers, weddings, Father\u2019s Day, etc.<\/li>\n<li>clothing: clothing, shoes, and accessories.<\/li>\n<li>insurance: auto, rental, health, etc.<\/li>\n<li>savings: any money going to savings for specific reasons or to a general emergency fund.<\/li>\n<li>utilities: cell phone, Internet, cable, electric, gas, water, trash, etc.<\/li>\n<\/ul>\n<div class=\"textbox tryit\">\n<h3>Try It<\/h3>\n<p>\t<iframe id=\"assessment_practice_c1a0437a-1da8-4bc6-97a4-13e379428e51\" class=\"resizable\" src=\"https:\/\/assess.lumenlearning.com\/practice\/c1a0437a-1da8-4bc6-97a4-13e379428e51?iframe_resize_id=assessment_practice_id_c1a0437a-1da8-4bc6-97a4-13e379428e51\" frameborder=\"0\" style=\"border:none;width:100%;height:100%;min-height:300px;\"><br \/>\n\t<\/iframe><\/p>\n<\/div>\n<h2>Step 3: Schedule Adjustments<\/h2>\n<p class=\"p1\">Getting a budget up and running often works well for a month or two, and then mysterious problems come up. Spending may balance out well initially, but then grow harder to predict or control.\u00a0A key secret: <strong>budgets need attention and adjustment every month<\/strong>.\u00a0<span class=\"s1\">You&#8217;ll\u00a0have the same expenses every month, but they won&#8217;t always be for the same amounts. Therefore, your categories of spending will stay the same, but you&#8217;ll make adjustments to the <\/span><span class=\"s4\"><i>amount<\/i><\/span><span class=\"s1\">\u00a0you budget every month.\u00a0<\/span><span class=\"s1\">For example,\u00a0if your significant other&#8217;s birthday is coming up, you&#8217;ll need to consider what you&#8217;re planning to do or buy for that event, and how that affects other spending for the month.<\/span><\/p>\n<p>Each month, consider the following questions:<\/p>\n<ul class=\"ul1\">\n<li class=\"li3\"><span class=\"s1\">What events or activities do I have coming up?<\/span><\/li>\n<li class=\"li3\"><span class=\"s1\">Am I\u00a0going to be driving more or less?<\/span><\/li>\n<li class=\"li3\"><span class=\"s1\">What holidays are coming up, and what do I need to do to prepare?<\/span><\/li>\n<li class=\"li3\">Is anyone going to be helping me pay for some categories this month?<\/li>\n<\/ul>\n<p class=\"p2\"><span class=\"s3\">If a category of your budget needs to <\/span><span class=\"s1\">increase its spending<b>,<\/b><\/span><span class=\"s3\"> then another area will\u00a0need to\u00a0<\/span><span class=\"s1\">decrease its spending for that month.<\/span><\/p>\n<h2 class=\"p2\">Step 4: Consider Expenses That Don&#8217;t Happen Each Month<\/h2>\n<p class=\"p1\"><span class=\"s1\">Another challenging\u00a0area for\u00a0budgeting concerns things you know you&#8217;ll have to pay for, but infrequently or not on a set schedule. Such items include:<\/span><\/p>\n<ul class=\"ul1\">\n<li class=\"li2\"><span class=\"s2\">taxes.<\/span><\/li>\n<li class=\"li2\">insurance premiums.<\/li>\n<li class=\"li2\"><span class=\"s2\">clothing.<\/span><\/li>\n<li class=\"li2\"><span class=\"s2\">vacation.<\/span><\/li>\n<li class=\"li2\">health care.<\/li>\n<\/ul>\n<p class=\"p3\"><span class=\"s2\">You don\u2019t want April\u00a0to roll around and suddenly have to come up with a big amount of money to pay your taxes.\u00a0<\/span><span class=\"s2\">To prepare ahead of time, start\u00a0setting money aside every month in a\u00a0savings account. This savings will become a new category for your spending. You can divide\u00a0things like insurance premiums into monthly chunks and sock that away ahead of time in order to have enough for the lump payment when it comes due. Add an additional amount for less-predictable spending. That\u00a0way, if you encounter a\u00a0big sale at your favorite store, then you can\u00a0stock up and not wreak havoc on your\u00a0budget. It will take\u00a0several months to get a cushion, so take that into account now.\u00a0<\/span><span class=\"s2\">It doesn\u2019t matter what precise system you use. You just need to have a plan for these expenses.<\/span><\/p>\n<h2 class=\"p2\">Step 5: Unexpected Expenses<\/h2>\n<p class=\"p1\"><span class=\"s1\">The hardest part of budgeting for most people is unexpected expenses.\u00a0These expenses may be unexpected, and sometimes unpleasant, but you <strong>can<\/strong> still plan for them.\u00a0<\/span><span class=\"s1\">Types of unexpected expenses include<\/span><\/p>\n<ul class=\"ul1\">\n<li class=\"li2\"><span class=\"s1\">auto repairs.<\/span><\/li>\n<li class=\"li2\"><span class=\"s1\">home repairs.<\/span><\/li>\n<li class=\"li2\"><span class=\"s1\">veterinarian expenses.<\/span><\/li>\n<li class=\"li2\"><span class=\"s1\">medical bills (like co-pays and prescriptions).<\/span><\/li>\n<\/ul>\n<p class=\"p1\"><span class=\"s1\">If you have a car, plan to have it repaired. The unknowns\u00a0are\u00a0when that will be and how much it will cost. To prepare, s<\/span><span class=\"s2\">et money aside ahead of time. Y<\/span><span class=\"s1\">ou may think, \u201cEasier said than done!\u201d But putting aside as much as possible (and as realistically as possible) will\u00a0reduce your debt as well as lower your stress level!<\/span><\/p>\n<p><span class=\"s1\">There are two ways you can set money aside:<\/span><\/p>\n<ul>\n<li><span class=\"s1\">set a lump sum of money aside (the easiest way), or<\/span><\/li>\n<li><span class=\"s1\">set up categories for these expenses (<span class=\"s3\">like you did for your monthly expenses<\/span>). This method is more time-consuming, but you can track exactly where your money is going.<\/span><\/li>\n<\/ul>\n<p><span class=\"s1\">Note: this savings is <\/span><span class=\"s2\">separate<\/span><span class=\"s1\">from your emergency fund. Most financial experts recommend that you have three to six months&#8217; worth of income in savings for emergencies.\u00a0<\/span><span class=\"s1\"><strong>Unexpected\u00a0expenses are not emergencies<\/strong>. Emergency funds should be untouched and on-hand for dire situations like losing a long-term job or encountering a major medical issue.\u00a0<\/span><\/p>\n<h3 class=\"p3\"><span class=\"s1\">How much money should you set aside?<\/span><\/h3>\n<p class=\"p1\"><span class=\"s1\">The best way to figure out how much to budget for unexpected expenses\u00a0is to\u00a0list\u00a0all the unplanned expenses you had last year, plus ones you can predict are coming soon. For example, you might\u00a0predict that if you have a dog, he will have to visit the\u00a0veterinarian at least twice a year for unexpected reasons.\u00a0<\/span><span style=\"font-size: 1em;\">Make a list of all unexpected expenses, then e<\/span><span style=\"font-size: 1em;\">stimate how much money you should have set aside for the year.\u00a0<\/span><span style=\"font-size: 1em;\">Take your total and divide it by twelve and set this much aside each month.\u00a0<\/span><span class=\"s1\">It\u00a0might take you a while\u00a0to get enough money set aside. Keep working on saving, and don&#8217;t give up if you don&#8217;t always meet your target each month.<\/span><\/p>\n<div class=\"textbox exercises\">\n<h3>budgeting apps<\/h3>\n<section>\n<div class=\"os-note-body\">\n<p id=\"fs-idm255869232\">You can write down your budget on paper, use a computer spreadsheet program such as Excel, or you can find popular budgeting apps that work for you.<a class=\"footnote\" title=\"See www.techtimes.com\/articles\/80726\/20150902\/best-budgeting-apps-for-college-students-mint-you-need-a-budget-and-more.htm for some good\" id=\"return-footnote-2160-1\" href=\"#footnote-2160-1\" aria-label=\"Footnote 1\"><sup class=\"footnote\">[1]<\/sup><\/a>\u00a0<sup id=\"footnote-ref2\" data-type=\"footnote-number\"><\/sup>Some apps link to your accounts and offer other services such as tracking credit cards and your credit score. The key is to find an app that does what you need and use it.\u00a0Here are some examples:<\/p>\n<ul id=\"fs-idm249431920\">\n<li><a href=\"https:\/\/www.mint.com\/\" target=\"_blank\" rel=\"noopener nofollow\">Mint<\/a><\/li>\n<li><a href=\"https:\/\/www.mvelopes.com\/\" target=\"_blank\" rel=\"noopener nofollow\">Mvelopes<\/a><\/li>\n<li><a href=\"http:\/\/wally.me\/\" target=\"_blank\" rel=\"noopener nofollow\">Wally<\/a><\/li>\n<li><a href=\"https:\/\/goodbudget.com\/\" target=\"_blank\" rel=\"noopener nofollow\">Goodbudget<\/a><\/li>\n<\/ul>\n<\/div>\n<\/section>\n<\/div>\n<h2>The Envelope Method<\/h2>\n<p>Still not convinced that making and following a budget is doable? The following video describes a budgeting technique that&#8217;s very easy\u00a0and straightforward to follow: the &#8220;Envelope Budget.&#8221; Simply placing cash in labeled envelopes (one for each category or purpose)\u00a0each\u00a0month can be a very effective means of building healthy spending habits.<iframe loading=\"lazy\" src=\"\/\/plugin.3playmedia.com\/show?mf=6890480&amp;p3sdk_version=1.10.1&amp;p=20361&amp;pt=375&amp;video_id=Ov0sy5AH9PI&amp;video_target=tpm-plugin-ald9x4fv-Ov0sy5AH9PI\" width=\"800px\" height=\"450px\" frameborder=\"0\" marginwidth=\"0px\" marginheight=\"0px\"><\/iframe><\/p>\n\n\t\t\t <section class=\"citations-section\" role=\"contentinfo\">\n\t\t\t <h3>Candela Citations<\/h3>\n\t\t\t\t\t <div>\n\t\t\t\t\t\t <div id=\"citation-list-2160\">\n\t\t\t\t\t\t\t <div class=\"licensing\"><div class=\"license-attribution-dropdown-subheading\">CC licensed content, Original<\/div><ul class=\"citation-list\"><li>College Success. <strong>Provided by<\/strong>: Lumen Learning. <strong>License<\/strong>: <em><a target=\"_blank\" rel=\"license\" href=\"https:\/\/creativecommons.org\/licenses\/by\/4.0\/\">CC BY: Attribution<\/a><\/em><\/li><li>Revision and Adaptation. <strong>Provided by<\/strong>: Lumen Learning. <strong>License<\/strong>: <em><a target=\"_blank\" rel=\"license\" href=\"https:\/\/creativecommons.org\/licenses\/by\/4.0\/\">CC BY: Attribution<\/a><\/em><\/li><\/ul><div class=\"license-attribution-dropdown-subheading\">CC licensed content, Shared previously<\/div><ul class=\"citation-list\"><li>How to Budget Your Money. <strong>Provided by<\/strong>: Be Centsable. <strong>Located at<\/strong>: <a target=\"_blank\" href=\"http:\/\/www.becentsable.net\/2015\/01\/budget-money.html\/\">http:\/\/www.becentsable.net\/2015\/01\/budget-money.html\/<\/a>. <strong>License<\/strong>: <em><a target=\"_blank\" rel=\"license\" href=\"https:\/\/creativecommons.org\/licenses\/by\/4.0\/\">CC BY: Attribution<\/a><\/em><\/li><li>College Success. <strong>Authored by<\/strong>: Amy Baldwin. <strong>Provided by<\/strong>: OpenStax; Modified by Lumen Learning. <strong>Located at<\/strong>: <a target=\"_blank\" href=\"https:\/\/openstax.org\/books\/college-success\/pages\/10-2-savings-expenses-and-budgeting\">https:\/\/openstax.org\/books\/college-success\/pages\/10-2-savings-expenses-and-budgeting<\/a>. <strong>License<\/strong>: <em><a target=\"_blank\" rel=\"license\" href=\"https:\/\/creativecommons.org\/licenses\/by\/4.0\/\">CC BY: Attribution<\/a><\/em><\/li><\/ul><div class=\"license-attribution-dropdown-subheading\">All rights reserved content<\/div><ul class=\"citation-list\"><li>Cash Envelope System for Beginners | How to Start Budgeting | Budget for Beginners. <strong>Authored by<\/strong>: Monetu2019s Money. <strong>Located at<\/strong>: <a target=\"_blank\" href=\"https:\/\/www.youtube.com\/watch?v=Ov0sy5AH9PI\">https:\/\/www.youtube.com\/watch?v=Ov0sy5AH9PI<\/a>. <strong>License<\/strong>: <em>All Rights Reserved<\/em>. <strong>License Terms<\/strong>: Standard YouTube License<\/li><\/ul><\/div>\n\t\t\t\t\t\t <\/div>\n\t\t\t\t\t <\/div>\n\t\t\t <\/section><hr class=\"before-footnotes clear\" \/><div class=\"footnotes\"><ol><li id=\"footnote-2160-1\">See www.techtimes.com\/articles\/80726\/20150902\/best-budgeting-apps-for-college-students-mint-you-need-a-budget-and-more.htm for some good  <a href=\"#return-footnote-2160-1\" class=\"return-footnote\" aria-label=\"Return to footnote 1\">&crarr;<\/a><\/li><\/ol><\/div>","protected":false},"author":19,"menu_order":14,"template":"","meta":{"_candela_citation":"[{\"type\":\"original\",\"description\":\"College Success\",\"author\":\"\",\"organization\":\"Lumen Learning\",\"url\":\"\",\"project\":\"\",\"license\":\"cc-by\",\"license_terms\":\"\"},{\"type\":\"original\",\"description\":\"Revision and Adaptation\",\"author\":\"\",\"organization\":\"Lumen Learning\",\"url\":\"\",\"project\":\"\",\"license\":\"cc-by\",\"license_terms\":\"\"},{\"type\":\"cc\",\"description\":\"How to Budget Your Money\",\"author\":\"\",\"organization\":\"Be Centsable\",\"url\":\"http:\/\/www.becentsable.net\/2015\/01\/budget-money.html\/\",\"project\":\"\",\"license\":\"cc-by\",\"license_terms\":\"\"},{\"type\":\"copyrighted_video\",\"description\":\"Cash Envelope System for Beginners | How to Start Budgeting | Budget for Beginners\",\"author\":\"Monetu2019s Money\",\"organization\":\"\",\"url\":\"https:\/\/www.youtube.com\/watch?v=Ov0sy5AH9PI\",\"project\":\"\",\"license\":\"arr\",\"license_terms\":\"Standard YouTube License\"},{\"type\":\"cc\",\"description\":\"College Success\",\"author\":\"Amy Baldwin\",\"organization\":\"OpenStax; 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