Tuesday, March 4, 2008


How do many people spell budget - SPEND

It is true! Most of us find it hard to confine ourselves to a budget and to spend the time necessary to make it work. It is so easy to spend the money if it is in our account. Why should we have to bother with bills that are not due for another week or two. "Somehow we will get the money in time." "It has always worked out in the past." Or maybe - "We haven't lost our home yet."

Many feel that budget is a four letter word but without direction it is almost impossible to get where you want to go. Think about blowing up a ballon and taking it into a thirty square foot room. Someone tells you that if you can hit a target on the other side of the room, thirty feet away, you will win a prize. Let's assume that the prize is something you really do want. You take the balloon and hold it up to your face trying to aim for the target. Just when you think the wind is right and the balloon is at the right angle, you let it go. What do you think your chances of hitting the target are? Slim? Very slim? Non-existent? You are probably correct. Now let's look at a better way to hit your target. You find a thirty foot piece of string and you tape one end of it to the target. You also tape a straw to the side of your balloon from end to end. Now you pass the string through the straw and hold the string a little bit taught. Now when you let go of the balloon, what happens? The balloon soars directly into the target hitting it right where you wanted it to. YOU WIN THE PRIZE!

Your budget acts as the piece of string and the straw. It will guide you to your financial goals in the most direct way they can be reached. Without it you will usually flounder and land somewhere else and not win the prize.

Until next time, try to work on putting a livable, workable, likable budget together. If you need help, look at my book "Winning the War Against Debt" where the first chapters will help you put one together.

Lyman Rose

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