Are you Budgeting Backwards?
Asking the wrong questions
The one mistake you are making when it comes to creating a budget and how to change your budget to something that works for you.
A question I see raised very often on various forums and social media sites (which I spend way to much time on) is some form of the following explains why so many people are budgeting backwards:
“I’m trying to create a budget and…
How much should I spend on… food or eating out or clothing?
How much does everyone spend on these categories?”
This is a question that comes up again and again usually by people who are attempting to get their finances in order and are trying to start living on a budget.
But they are asking the wrong question.