5 Easy Steps to Budgeting – Step 1

One of the most common questions I get asked is, “how do I budget?” Many people have tried budgets…and failed! That leaves people frustrated and in turn they say they will NEVER use a budget again. Here are some things people equate with budgets:

Budget = Restricting

Budget = I’m Broke

Budget = Controlling

Budget = No Fun

Budget = Not worth it

I would ask them the following:

  • How are you paying for Christmas this year? I am paying cash.
  • How much is your car payment? I paid cash for my car.
  • How much did you invest this month? I have invested for retirement for over 220 months in a row and my daughter’s college for over 150 months in a row.
  • How much money do you owe to your credit cards right now? I owe $0.
  • When is the last time you had a great discussion on finances with your spouse? Not a fight. A great discussion. Jenn and I develop a spending plan TOGETHER every single month.

Well I want to make a deal with you. Will you give budgeting one more shot? I’m going to do my best in this series to try and teach you a method of budgeting that works. A method I used and still use today. My hope is you will try a budget for the month of March.

In reality, a budget is nothing more than telling your money where to go. I have heard Dave Ramsey take the definition a humorous step further – a budget is nothing more than telling your money where to go instead of wondering where it went! EXACTLY!

So our first step in budgeting is:

STEP ONE  Decide to decide
Until you decide that budgeting is crucial to taking your finances to the next level, you will always find a way to avoid this “unsavory” task. The very day that Jenn and I started budgeting was the very day that we started WINNING WITH MONEY! From this moment on, decide to live differently. Decide to not live paycheck-to-paycheck and in debt.

Decide to decide!

Make sure to check back for Step Two on Thursday!


  1. Scott Bryant on February 4, 2015 at 9:52 am


    I first want to thank you and your team for continuing to send these emails out. I have been on my journey for 4 years now and I am so much better off than I once was. I’m out of debt (except house), establishing an emergency fund and preparing to invest.

    On you statement, “Decide to Decide”, there are decisions everyday that are made I don’t think the average person thinks about that is killing them. They decide to go out to eat rather than cook at home. They decide to go on vacation with nothing more than a credit card to pay for it. They decide not to save for Christmas. Lots of decisions are made that continue to bring the house down. And my favorite, sign up for 60 months to buy a new car! Really? Bad plan if you don’t know how your going to pay for it. I think the bottom line is not many people want to face the truth about there finances. I remember my grandmother saying to save for a “rainy day.” Does the average person REALLY know what that means? Take an umbrella with you today because it’s going to rain. It’s pretty much that simple.

    I’m just rambling on here but I just don’t understand how I was so misinformed in the past to where I am now.

    You can get out of debt if you decide to. If I can do it, anybody can!


  2. Ruby Johnson on March 19, 2016 at 8:34 pm

    I am very thankful for your Book (IWBNIN). I am in a class with my Church and I am learning a lots, I wish that I would have had this class long before I Retire. But I am all fire up in being Debt Free soon. Thank you Joe

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