7 Reasons Budgets Fail [and How to Fix It]

There is that beloved word that makes everybody cringe- the budget. Why does the word budget get so much negative attention. I dare to say that when a budget is in place and working properly it is anything but negative- it’s freedom. You see, it may seem like a budget constraints us and stops us from living freely when in reality your future is determined by the constraints we put into our lives TODAY. 

People don’t fail because they don’t have goals, they fail because they don’t have a plan.

So when you are looking at making your budget this year and the months ahead, you have to be prepared. I know it takes work and I know it can be hard, but it’s worth it. I know you have plans, goals, and dreams. Let’s take the time to write them down and figure how to make those goals a reality.

So let’s take a further look at why your budget failed this last year.

1. You haven’t planned the month and the year in advance

Many of us fail to stick to our budget or overspend on our budget during the month because we haven’t taken the time to plan out the month or to determine where our money should go. There are many great resources out there for budgeting but I would highly recommend taking the course Financial Peace University  (FPU). FPU also has a free online budgeting tool you can use which helps to budget your monthly income. It’s called EveryDollar.com. 

Budgeting out your year and taking a look to see what the year has in store for you will take away some of the “surprises” that pop up during the year. Taking inventory of the regular things that we should be expecting every year will help us to prepare for the days it’s time to pay out. 

2. You and or your partner aren’t on the same page

When you are married, you and your spouse need to determine your financial goals. Both of your goals. Sometimes my goals and my husband’s goals don’t look the same. Maybe your spouse is thinking he wants to live on nickel-and-dime but you are not comfortable with that. You both need to state your comfort level and your fears. Then you need to meet in the middle or one of you completely has to change. I can guarantee that you both don’t think the same about money and your goals. Even if you say you do, you really don’t.

Tip: Your ability to stay on a budget will show if you’re
both on the same page.

For me and my husband, we wanted to save as much as we could for a house. So we minimized our expenses. We feel we can live with less stuff in life so we can save more money so that we can travel and can give more radically.

3. You haven’t found a goal that motivates you to save

Change happens when people start getting disgusted at where they are at in life. The frustrations and desire to change have to be emotionally convicting enough to make a change. Disgust can be one of the biggest motivators. Maybe you are disgusted with your lack of savings. Or maybe it’s your overspending. Maybe you are disgusted with all the fights about money. Maybe you are sick of not feeling like you are making progress in your future goals. Huge motivators for me have been: purchasing a house, being able to stay home with my kids, and Disneyland.

Food for thought: What is it that will motivate you when you don’t want to stick and stay to the plan? Let it punch you in the gut and help you change your behavior.

4. You fail to give

The next thing I wanted to say is that you must give. You must tithe. You must give back. Regardless of your religious beliefs, you must give. Yes, it is a biblical principle but a principle nonetheless. People who create wealth understand this principle. You reap what you sow. I totally believe that when you give 10% of your income God provides even when you can’t imagine how you could possibly make it. 

God is faithful-
when you give, it will not return back to you void.

5. You haven’t fully committed

Perhaps you like the idea of living financially free, or you like the idea of having more money in the bank, or you like the idea of taking a family vacation, or you like the idea of giving freely, BUT you really don’t want to do what it takes to make it a reality.

Let’s be real for a moment. I have been here. I have wanted to have all the “stuff” and go all the “places” and experience all the “things” but when push came to shove, what I really wanted was the $6 dollar latte and the $20 dollar target find. Well you may ask, what’s wrong with coffee and Target? Oh absolutely nothing! If you can afford it and if it fits in your budget. But what happens when you buy the $6 coffee once a week and the $20 target find every time you walk into a Target (which is probably once or twice a week)? Now you have spent $104 dollars that could’ve been put towards paying down your debt or saving for your next adventure. Now the real kicker is that most Americans are using their credit cards to purchase. So now instead of using $104 to pay down some debt you are adding $104 to your balance… It’s time to get disgusted.

6. You play the comparison game

I am guilty of this more than anyone. Comparing yourself to other people and what they have leads to discontentment. It also takes away your value. Comparing yourself minimizes the skills and talents that God has breathed into your very being.

Your worth is not defined by what you have.

If you find yourself constantly comparing yourself to others and you can tell that you are traveling into a dark hole of self-pity, there are two things you can do:

• First, get off Facebook, Instagram and or Pinterest.
• Second, you need to cultivate a grateful heart. Don’t underestimate good health, family, a home, a job, and food. We are among the 2% of the wealthiest people in the world.

7. You need more accountability

Surround yourself with people who you want to be like. The proverb, you are who you hang out with, is true. Research shows that you are the average of your 5 closest friends. If you want to get yourself into a different place financially, spiritually, and personally you need to find people you can learn from. If you don’t have people in your life like this, then now is a perfect time for you to pray that God puts people in your life that can mentor and lead you!

The more you stick to a budget the easier it will become. Remember, discipline is doing what you know needs to be done even after the desire to do it is gone.

You got this girl!

What do you do that helps you stick to a budget? Do you find a tip or trick invaluable to sticking to your monthly budget?

Please share!