Budget Plan For The First Time Essay

773 Words Dec 20th, 2016 4 Pages
Note: Steps 2 and 3 are performed only when using our budget plan for the first time. Thereafter, it is simply a 3-step process.

Step 2: This is the most critical and the most overlooked step by many people. It is the step which differentiates our plan from the majority of others which emphasize cutting your quality of life to save a buck. Remember the theme: "Cut only your costs, not your enjoyment". This crucial area requires some upfront effort and will be well worth the time. Our Budget Cutters section will be an enormous help. In this step you will permanently cut the "fat" (overpaying) and this is the foundation upon which all of your future budgeting success depends. As you discover big savings on the payouts that you have already been making, this money will fall to the "bottom line", your pocket...where it belongs. Take your time and review the deals that we have listed, as well as any deals that you may find on your own.

When you have good estimates for your cost-reduced budget figures, enter these figures in the New Budget column on the Comparison Shop Form. This is a simple 3 column form with the headings: "New Budget", "Original Budget" and "Variance". Enter the information from Step 1 in the Original Budget column and figure the variances. This will illustrate your newfound savings by category.

Note: This step may take some time before you have whittled down every one of your expense categories. Do not fret, use your best estimate at this point and adjust…

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