What Is Your Money For? Rethinking the Word "Budget"
The word "budget" has been given a bad rap — and before we can answer what your money is truly for, I think it deserves to be reinstated to its positive, more purposeful role.
What do you think of when you hear the word BUDGET?
How does your body respond?
Is there a particular feeling that you become aware of?
Whether your thoughts, reactions, and feelings are positive or negative depends on your personal history with the word, process, or experience with budgets.
It seems most people associate the word “budget” with cutting back, spending less, and/or depriving themselves. Then there are others who see it as a a tool or even a guide that helps them clearly identify what their money is for- now and in the future.
If you see budgeting as a negative thing, are you willing to see it differently?
Are you willing to shift your perspective to begin to see budgeting as a positive process?
Here's one way to reinstate the word “budget” to its positive, more purposeful role: whether budget is used as a noun or a verb, the word PLAN can substitute for both. To me it feels more intentional and empowering. And I believe it could even transform how you view the word “budget” forever more ;)
Consider the following:
“I create a new budget every month” becomes “I create a new plan every month.”
“It’s not in my budget” becomes “it’s not in my plan.”
“How much do I want to budget for this?” becomes “how much do I want to plan for this?”
“I have budgeted $1000 for travel this month” becomes “I have planned $1000 for travel this month.”
As a Financial Counselor and Retirement Coach, I use the term “spending plan” with my clients.
It helps to bypass any negative associations with the word “budget” and empowers them to create a plan for their money.
It enables them to focus on an intentional process for defining how they want to allocate their resources and spend their money. It answers the very question we started with: what is your money truly for?
What is YOUR money for?
Have you ever asked yourself the above question? If not, I encourage you to do so! It will help focus your mind and support you in answering the following questions:
What do you NEED to spend to take care of yourself?
What do you WANT to spend to enhance your enjoyment of your life?
What are you SAVING for?
Knowing what your money is for will empower you to be more intentional with your money.
It may even inspire you to create a “budget” or a “plan” to support you in honoring your intentions.
If you choose to do so, create one that resonates with who you are, reflects what is most meaningful to you, and aligns with the future you want to build.
In the end, it doesn’t matter what word you use.
What matters most is that you are intentional with your money and that you honor your intentions.