Master Your Money, Minimize Your Stress.
How often do you find yourself stressed about your money? It seems no matter what you do, your money is always acting funny. The quantity is insufficient here; you’ll never locate enough there. What do you do?
Instead of picking up pennies, scavenging through the couch cushions, or getting on all fours to dig under the car seats, you take a moment to ask God for ideas. Ask God how you should wisely steward your money.
Why do you need a budgeting plan for financial freedom?
Budgeting plans help free yourself from financial stress. Once you’re debt-free and financially free, it’s a personal blessing that opens doors to helping others.
“The wicked borroweth, and payeth not again: but the righteous sheweth mercy, and giveth.” Psalms 37:21 (KJV).
By prioritizing, planning, and protecting your money, you develop financial stewardship. Eventually, you’ll discern a potential for great fortune approaching.
“A good man sheweth favour, and lendeth: he will guide his affairs with discretion.” Psalms 112:5 (KJV).
Practice Financial Wisdom
When you’re wise with your finances, these three stress-busting management techniques can prevent you from making poor money decisions.
Step 1. Start an emergency savings fund.
Step 2. Save for personal and family needs.
Step 3. Contribute to causes close to your heart.
“There is treasure to be desired and oil in the dwelling of the wise, but a foolish man spendeth it up.” Proverbs 21:20. (KJV).
Track What You’re Spending
I believe one of the most stressful situations to face with our money is taking the time to track what we spend. Trust me, I get it. When I started taking my financial downfalls seriously, I prayed to the Holy Spirit for guidance and instruction. The Holy Spirit led me to read books and watch videos about understanding my money and building wealth. What happened next?
I immediately implemented these spending money stewarding strategies.
- Checked 3 to 6 months of bank statements to review my biggest monthly expenses.
- Kept records of all purchases, regardless of their cost.
- Organized my receipts in a labeled envelope.
- Intentionally set aside time at the end of each month to calculate my receipts.
- Religiously used a monthly income spreadsheet.
It was somewhat stressful. No pain, no financial gain.
Budget Tool Discovered
I found a budgeting tool from Nerdwallet.com that is both cheap and free. Located under their personal finance tab, I chose their free budget spreadsheet.
It listed all the monthly income and expenses that worked for me. There was a section for my monthly needs, monthly wants, monthly savings, and debt repayments.
How to Use a Budget Spreadsheet.
The NerdWallet budget spreadsheet is an Excel program that lets me input my monthly income and expenses. After filling in every expense, it showed me how my finances would compare with the 50/30/20 budget breakdown. The budget breakdown for this formula looks like this:
50% of my income goes toward needs
30% toward my wants
20% toward my savings and debt repayment
Other budget breakdowns:
It’s perfectly alright if your budget doesn’t align with the 50/30/20 breakdown. There are several monthly budget breakdowns that will work for your circumstances and income. For example, your expenses may need to be adjusted to 60/30/10, 70/20/10, or 75/15/10.
The most important thing is to get the free printable budget tool that’s best suited for you. This will help reduce your financial stress and anxiety and give your plan clarity.
Here are 6 more reasons for finding value in tracking your money.
Money is a problem when it leaks. You’re spending it, but you don’t know why, when, or where. Eliminating waste and invisible spending empowers you to redirect cash into your savings.
Money will cause impulsive spending if not wisely monitored and protected. These impulsive behaviors unfortunately result in your living above your financial means.
Money is “not” the root of all evil when you consistently practice spiritual stewardship over it.
Money improves your credit health. Paying your recurring monthly obligations on time allows you to boost your credit score, and it saves you money!
Money helps you figure out your net worth and more.
Money tracking will reveal how you handle multiplication and future abundance.
Understanding financial wellness:
Financial wellness encompasses the ability to meet financial obligations. It helps you stay on track to pursue current and future goals. At the end of the day, you will:
- Protect your mental and physical health
- Sleep better knowing you’re on the right path
- Improve relationships within the home
- Increase your self-esteem
- Eventually have the ability to donate, gift, or sow a seed
In conclusion, take advantage of this time to grow spiritually in how you handle and plan your finances. Strive to be intentionally consistent in how you manage your money. Sacrifice time to do some research; you’ll make wiser choices. By wisely tracking your monthly expenses, you eliminate procrastination, elevate your financial wellness and reduce stress.