In order to control excessive spending in our daily activities, we need to set up budget for our expenditure. It is through budget we would able to weigh our receipt and expenses. Without budget, excessive spending could result into liquidity. In order to have efficient economic management, all spendings must not go beyond planned budget. It is through this, indebtedness could be avoided.
Why we need to set up budget in our expenses
- Thread starter hastral45
- Start date
Yes, I totally agree with you, budgets were created to control spending. Don't let there be more expenses than income, don't let there be waste in one particular budget item. and so on.
The primary reason is not to overspend. If we are not going to do this religiously, it will surely make us have a hard time managing the right budget. It needs to be planned and not to complacent for spending without thinking.
I fully agree that having a budget helps a lot to avoid over spending. However, I must admit that I do not make a detailed budget for my monthly expenses. I do have a rough idea of how much I spend on utilities, groceries, and other household as well as personal care items. I do not spend more than I earn.
Setting up a budget is very necessary for businesses to grow very quickly.
Without having a budget for your expenses it is always going to make it a possibility for you to overspend when you are not supposed to overspend.
Setting up budgets for your expenses helps to be cautious of the way one spends so that they don't run themselves to the ground.
