Create a New Financial Ending

Create a New Financial Ending

“Though no one can go back and make a brand new start, anyone can start from now and make a brand new ending.” Carl Bard

No matter where you’re at financially, individuals and businesses alike, it is never too late to adjust course and head in a new direction. The simplest tool for navigating towards your desired financial goals is a budget.

When developing a budget, always keep an open mind. Look for areas of opportunity to increase revenue and decrease expense.

To build your budget,
• forecast your monthly revenue or income
• outline your fixed expenses – recurring items that you have minimal discretion over (mortgage, lease, minimum credit payment, etc.)
• outline variable expenses – items that fluctuate more and you have more control over (groceries, utilities, supplies, etc.)

Once you’ve accounted for all of your expenses, subtract the total from your projected revenue or income. If the result is positive, you are on the right track and should start to plan how you will use the remaining funds to meet your financial goals, perhaps increasing your retirement contribution, saving for a vacation, or reinvesting into your business. If the result is negative, there is work to do. It is usually easier to reduce expense than increase revenue so look for items that you can minimize or eliminate all together.

Are razors with five vibrating blades that “help reduce pressure with less irritation and more comfort” at $21.76 for a package of six that superior to a razor with triple blade cartridges package of eight for $9.99? Do you need your very own not so limited edition “The 1-2-3 Money Plan: The Three Most Important Steps to Saving and Spending Smart” book for $17.99 or would a trip to your local library using a free library card work? Don’t get me wrong; we all have our “can’t live without items.” Just pick your battles; you can still live below your means by trimming in certain areas yet indulge in others.

You don’t need a complex financial system to be fiscally responsible. A simple budget can be a dynamic tool to help you achieve your financial goals.

I encourage you to share your ideas or comments below. If you have specific questions or would like further tools or consultation, please contact me at

One Comment

  1. Marcia L. Baldwin
    Mar 26, 2010

    Sounds like good practical applications for today’s economy or life skills in general.

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