13 Biggest Benefits Of Budgeting

​As a finance enthusiast, even I can admit: budgeting isn’t really a ‘fun’ word. It’s kind of like 'vegetables.' Just seeing the word can make us feel insecure about our life choices. It immediately reminds us of something we should be doing better, yet ironically, leaves us feeling discouraged - not inspired - to change. 

But there’s good news! We don’t have to run away from the topic hoping it leaves us alone already. Because here’s the thing: budgeting isn’t out to get you! That’s right. You don’t have to budget, period. And you’ll be just fine. I’m sure of it. 

So I’m not here to tell you what you should do or make you feel bad if you don’t. Instead, let’s take an honest look at the biggest benefits of budgeting, and then you can decide for yourself if you might actually want to budget. Genuinely.

It’s important that we go into this conversation from that perspective - where budgeting is an opportunity we can consider for ourselves - not a ‘should’ that we’re labeled as failures if we don’t do. Shaming yourself for what you do or don’t do will never ever lead to legitimate empowerment anyways. So don’t should yourself. Okay? :) 

Assuming we’re on the same page there, I have to tell you: there are so many reasons that make budgeting well worth it, both for our finances and for our quality of life as a whole. And not only that, but the more we get used to budgeting, the better we get at it. And the better we get at it, the more budgeting actually becomes … *gulp* … enjoyable. 

There. I said it. I like budgeting. 

Now that the cat is out of the bag, let's talk about what I mean by 'budgeting.'

Budgeting is a discipline, a tool, a system, a software, a lifestyle, an accounting for the past, a preparation for the future - and obviously, something different for everyone. Most basically, budgeting means keeping track of what we’re doing with our money right now, starting today. No catch-up needed. Here are a few perks that every budgeter benefits from:

• ​By budgeting, we get better information about what’s happening with our finances, and with better information, we're effortlessly able to make better decisions with our money. That in itself is reason enough to get started in my opinion!  
  
  
• Budgeting makes us the boss of our money. Budgeters’ finances aren’t happening to us, but instead, budgeters are the ones deciding what’s happening in the first place. I don’t know about you, but I like being in charge :)
   
• Budgeting makes us financially trustworthy people, and whether directly or indirectly, the more trustworthy we are with money, the more money we’ll end up with. As I wrote in this post, we attract more good fortune when we demonstrate that we have the maturity to meet the unspoken responsibilities that come with it. Intentional financial management is without a doubt one of those responsibilities.
  
  
• Budgeting prepares us for the future. Obviously, from a numbers perspective, budgeting helps us plan ahead immensely. But even mentally speaking, if we can learn how to be on top of the game with our current incomes and expenses, we’ll be be able to handle the changes that come. Making more money down the road won't make us better money managers - that’s something we get to start learning now!
  
  
• Budgeting brings us peace of mind, because we know that everything is accounted for. It all makes sense, and we can wrap our heads around what’s going on under the hood.  Budgeters aren’t hoping everything is going to be okay - we know it will - based purely on the facts.
  
  
• Budgeters spend less money, naturally embracing a more frugal, minimalist, and eco-friendly lifestyle as a result. (So fun!) The reason is, with no budget, our decision making is limited more or less to how we feel about our money. And compared to the people we see on instagram, we feel like we’re doing pretty good!! It doesn’t seem like we’re spending an exorbitant amount or living in ridiculous luxury, and as a result, we feel justified in our spending habits. But the problem is, so-and-so’s instagram lifestyle has nothing to do with our paychecks and our bills!
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• Budgeters save more money. (Woohoo!) Without a budget, we tend to think that next month will be better. Or next bonus, or next raise, or next job or side hustle. And in the meantime? We don’t save much. Budgeters, on the other hand, are already taking ownership of our long-term financial well being - not waiting for someone or something else to bail us out later down the road. (Ouch! When I put it that way..)

• ​Budgeters give more money away, too! This one may be surprising, but the reason goes back to the gap between our emotions and our reality. Most of us, emotionally speaking, feel like we’re good, generous people who are willing to help others in need. Thus, we’re content about our giving. However, when we budget, we’re more focused on the percentage that we actually give than how we generally feel about our generosity in a broad sense.  
  
  
• To summarize these three previous points - budgeting just makes us better with money, plain and simple. And being better with money matters, because money matters. A lot!
  
  
• Budgeting promotes a productive work culture. It’s noticeably easier to work diligently when we have tangible financial goals that are directly influenced by our pay! Intentional finance connects the dots between our work life and our actual lives. I love that synergy. 
  
  
• Budgeting forces us to live in the present - the only place we can truly live. Take giving or saving for example - many of us want to increase these amounts ‘one day’ when we ‘have money’ or ‘make more.’ Yet what inevitably happens? Our lifestyle expectations continue to grow with our income, and as a result, we continually feel as though we don’t make quite enough. In other words, living for ‘one day’ cripples us to continue living for 'one day' indefinitely, because one day is never today. I expound on this concept in my financial philosophy. Budgeters know that today is the one day we can live in, and therefore are able to sacrifice now in order to give and save how we really wanted to all along.
  
  
• Budgeting encourages a healthier relationship with money overall. The truth is, there’s never going to be a moment where we suddenly turn into a budgeter hero and magically begin to excel in this area of life. It’s a process to learn the skills, mindsets, and character traits needed to thrive financially, and the best way to learn is by experience! Budgeting is where much of this process takes place.
  
  
• Budgeting opens the door to spiritual and financial enrichment. Luke 16:11 is a personal favorite. Or check out Proverbs 13:4. Nothing says diligence in handling wealth than budgeting, and nothing raises questions of work ethic and integrity like wanting a better financial life yet refusing to take steps of action towards that aim!

I could probably keep going, but hopefully you’re starting to see the big picture here! :) If you’re still needing some ‘umph’ to bring it all home, give this a listen.

It’s no shock or spoiler alert that I’m envisioned for budgeting, and for personal finance as a whole. But even considering all of these reasons why budgeting matters, there still remains a few unfortunate realities. First off, budgeting takes time. Not a ton of time, but time nonetheless. Secondly, budgeting takes effort. Brain space is required. (And if it doesn’t require intentional thought, it’s probably not real budgeting!) Finally, and worst of all, there is always a good reason not to budget - four that are particularly compelling.

If you’re willing to jump over these initial hurdles and give budgeting a fresh try, you can set yours up here. Or if you want to get a few more handrails first, read about how to get started budgeting.

All that being said, I have to ask: are you thinking about starting a budget? Or do you already keep a budget? If so, what’s the most motivating reason for you?