Sharing is caring!
New Year, New Budget
Coming up with New Year’s resolutions is a breeze. Eat more green stuff? Easy peasy. More movement? Challenge accepted!
Budgeting? Well, yes… but where to begin? Getting serious about your spending is an UNdeniably intimidating undertaking. Community Choice is here to help.
We’ve got some quick, (mostly) painless tips to help you get started.

Understand your income, expenses AND spending habits
Knowing your income is just the tip of the budgeting iceberg. It’s crucial to know and understand(!) how much money you’re making versus how much money you’re spending. Take time to go through your billing statements and search for patterns.
Some things to consider:
- What’s your take-home pay each month? Do you have multiple income sources?
- What are your fixed costs? How much do your bills fluctuate?
- How likely are you to forgo cooking at home to order eggrolls?
This information will be the foundation of your budget. Once you’ve identified the basic facts plus areas of success and areas that need some tweaks, you’re one step closer to setting your financial goals.
Set clear, measurable goals
Having a budget is about being intentional with spending, and you can’t be intentional without having clear goals. It’s not enough to say, “I want to save money.”
Ask yourself why. Then, get specific.
- I need to save X dollars to get my tires replaced before my road trip this summer.
- My best friends invited me to their destination wedding, which means I need money for food, travel and accommodations before the big day.
- I want to boost my credit score before I look for a new apartment, and paying off my credit card will make a difference.
With tangible financial goals, you’re more likely to stick to the budget you decide on. If you need to save X dollars by Y date, you can figure out when and how to tackle this equation.
Expect the UNexpected
It’s important to get ahead to get ahead of the curve where you can. Tax Day never changes. You know when you’ll be inclined to splurge on birthday, holiday or anniversary gifts for your loved ones. Use your calendar to note events where having some extra money may come in handy.
All this being said…
Life is full of curveballs. The best way to be prepared for UNplanned expenses or changes to your income is to build a safety net into your budget. The general rule is to put aside three to six months’ worth of expenses.
Don’t be UNrealistic
It’s UNbelievably cool that you’re budgeting, but don’t expect to fulfill every financial fantasy all at once.
It would be impressive if you went cold-turkey on buying iced coffee every morning. You’d probably save a considerable amount of money. But how realistic would it be to build a budget around never, ever buying coffee mid-commute again?
Whether it’s cutting back on those to-go cup of joes or any spending habit you’re hoping to break, you must work up to it. Sustainable change takes time.
Small goals lay the groundwork for achieving bigger goals. If you’re UNrealistic off the bat, you’ll only cause yourself to feel guilty for not sticking to the budget.
Budgeting doesn’t have to be a bore
Got money on your mind? Use this momentum to explore other ways to keep things fresh as you continue learning about finance.
Use a budgeting journal to track your progress. Gain money smarts through books from financial experts. Listen to educational podcasts about everything from investing to the world economy. If you have curious kiddos, make it a family affair. The Money Mammals® Kids Club™ provides a safe, fun, and interactive way for kids 12 and under to learn how to save and manage money.
Oh, and keep reading The UNblog. Obviously.
This blog is intended for educational purposes only. For details about specific products or services, see credit union for details. For questions about investments, please consult your financial advisor.