Why does it seem that people quit budgeting before they even start? For one simple reason — much like dieting — they don’t see the results they expect from the work they’re required to put forth. Because they don’t know how to budget, they don’t see the results as quick as they’d like.

Truth be told, failure is almost certain with the way people are taught to budget these days. Some financial guru will announce they’ve come up with handy-dandy tables to compute what you should spend on every conceivable good and service…another will say you only need to worry about what you’re saving (while that’s great, you’re leaving a lot of money on the table when that’s your only focus!).

The key is to budget only what you have on hand. Don’t project. Don’t estimate! Simply look at your spending accounts (whether you have one checking account or several) and budget each of those dollars to a spending or savings category. You give every single dollar a job.
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