Budgeting A Key to Success | How I Manage My Funds

Hi,
This is Shiekh Nouman from Pakistan and through this post, I am gonna share my thoughts about "Budgeting A Key to Success".

accountant-3681227_1920.jpg
Source

Budget making is an important part of your life doesn't care if you earn some cent or millions. If you are not concentrating on your expenses you will lose your present and your future. Earning more than expenses or just saving your money is not budgeting (opinion). You need a proper way how to spend your money and how to save your money for your future.

I have seen too many people who have destroyed their business and their future just for thinking that tomorrow will be a good day so spend what you have earned today. Even in the first wave of Covid-19 when it was completely locked down in my area I have also learned the importance of budgeting. Those were the days when the businesses were shut down and we have to bear expenses from our own savings. That was the first experience in my life so yeah those were the darkest days of my life.

As it was the scariest time for all of us, especially for those who are living on daily wages. I also had some employees (laborers) in my factory who earned handsome salaries but their only problem was they spend more than they earn. When the covid-19 get started I gave them their salaries in advance with some extra money and advised them that we don't know how much time it will take to things get settled back so handle their expenses with much care.

After a week I started receiving calls from them that they are out of money and they need more. In the start, I thought it was ok we all are facing a bad time. We will be back to normal soon but their
demands started getting high day by day and I was started out of money. I wasn't even able to say anything because I knew we were going through a bad time. As my bank balance also started going down but thank God the lock downed ends with a smart lockdown and the businesses started again. Now when It comes to those employers to favor me most of them resign and never come back. Now things get started hard for me.

money-7015551_1280.png
Source

That day I learned a simple rule for my future, If you earn something then spend it, If you don't earn try not to spend a single penny, and In any condition never use your savings. Now you can say that that's my budget plan which I use for budgeting.

We mostly work on daily wages, sometimes we earn extra, sometimes we earn low, or sometimes we earn nothing because that depends on how much the customer has been dealt with that day. When I earn an extra amount which is mostly in the wedding season like at the start of the winter or the end of the winter, I save that extra amount for my savings. If I just earned a normal amount I use it for my expenses. If I earn nothing I try to be careful with my expenses except only in emergency condition where my savings helps me.

Screenshot 2022-08-24 7.03.46 PM (1).jpg



0
0
0.000
6 comments
avatar

If you earn something then spend it, If you don't earn try not to spend a single penny, and In any condition never use your savings

I like the fact that one shouldn't spend more that his or her income and saving for rainy day is also important.
But at what point should one use his or her savings?

0
0
0.000
avatar

It is up to them, For me, I am using my extra savings for investments in my/other businesses. I had faced a difficult time in COVID's lockdown with my employees and when you have employees you should need to have a backup savings.

0
0
0.000
avatar

Wao that's amazing .
The COVID put a set back on businesses during that time I didn't save because I needed to take care of myself and family.

0
0
0.000
avatar

Spending more than you are earning will surely lead one into a financial mess. That is where budgeting comes in and that is what makes it so important.

Thank you for sharing this with us.

0
0
0.000
avatar

Yeah as I said, "Budgeting is the key to success".
Thanks for visiting me:)

0
0
0.000