Master Your Finances: Start with a Solid Monthly Budget

1 min readOct 16, 2023


A budget is telling your money where to go instead of wondering where it went.

: Dave Ramsey

A monthly budget is your financial compass, and without it, you’re sailing blind in a sea of expenses.

Why It’s Important:

  • A budget ensures that you know exactly where your money goes each month, giving you financial clarity.
  • It empowers you to make informed decisions about your spending, helping you prioritize your financial goals.
  • With a budget, you can identify areas where you can cut costs and save more, which is the first step towards building wealth.

How to Start Budgeting

  1. Begin with an Honest Assessment
  • List all your sources of income, including your salary, side hustles, and any passive income.
  • Record every expense, from rent, groceries, and utilities to discretionary spending like dining out.
  1. Categorize Your Expenses
  • Divide your expenses into fixed (e.g., rent or mortgage) and variable (e.g., entertainment).
  • Allocate a portion of your income to each category, prioritizing essentials.
  1. Embrace the Envelope System
  • Allocate cash into envelopes/accounts for various spending categories.
  • When the envelope is empty, you can’t spend more in that category until the next month.
  1. Stick to Zero-Based Budgeting
  • Ensure your income minus expenses equals zero. Every rupee has a purpose.
  • Any surplus can be allocated to savings, investments, or debt repayment.
  1. Use Budgeting Tools
  • Explore budgeting apps or software like YNAB, Wallet or Daily Expenses
  • They can automatically track transactions, making budgeting easier.

Individuals who budget regularly save, on average, 20% more than those who don’t.




Driven to Learn. Driven to Improve. Driven to Share. Excel and Personal Finance enthusiast.