An estimation of the revenue and expenses over a specified

future period of time. A budget can be made for a person,

family, group of people, business, government, country,

multinational organization or just about anything else that

makes and spends money. A budget is a microeconomic concept

that shows the tradeoff made when one good is exchanged for

another.

Budgeting lies at the foundation of every financial plan. It

doesn’t matter if you’re living paycheck to paycheck or

earning six-figures a year, you need to know where your

money is going if you want to have a handle on your

finances. Unlike what you might believe, budgeting isn’t all

about restricting what you spend money on and cutting out

all the fun in your life. It’s really about understanding

how much money you have, where it goes, and then planning

how to best allocate those funds. Here’s everything you need

to help you create and maintain a budget