How many times have you restructured your monthly budget to fit your current lifestyle, but after a few months you can't seem to stick to it? This is called budget burnout and it happens all the time. The number one reason we fall into this burnout pattern is because our budget is not in alignment with the foundational elements that make us our best selves. We tend to focus on surface level expenses rather than core expenses that define and make up what ultimately makes us happy. Follow these 3 steps to successfully avoid budget burnout.
Step 1: Define Your Best Self
Think about periods in your life when you were your happiest. Use these prompts to help define your best self:
How are you feeling, what are you doing, who are you with?
What fuels you/gives you energy in the most positive or empowering way?
Use your definition and prioritize 3 foundational elements that are required in order to get you to this point. Let's call these your Top 3.
Example: I am my best self when I:
look and feel my best
am traveling
am doing fun things with my friends and family
Step 2: Align Core Expenses
Spend time thinking about budget items or expenses that are directly correlated to your Top 3. In other words, how might your Top 3 show up in your budget as expenses?
Example: continuing the Top 3 example in Step 1:
“looking and feeling my best” = gym membership, skincare, healthy groceries
“traveling” = plane tickets, hotel stays
"doing fun things" = restaurant bills, activities
Step 3: Adjust Your Budget
Now it's time to look at your current budget and see if those core expenses are reflected. If not, we need to make space for them because at the end of the day, these are the expenses that really matter to you. The reality is your core expenses will creep into your budget, so we need to make room for them. While you're reviewing your current budget, simultaneously identify spending that is not aligned - we'll call these outside expenses.
Example: after reviewing my current budget, all of my core expenses are reflected EXCEPT "gym membership". I also notice significant outside expenses are: $800 of shopping and $240 in food delivery services.
How can you adjust your budget to serve your best self? If you currently have a core expense not represented in your budget, consider swapping that core expense for all or a portion your outside expenses. The underlying idea here is to ensure each dollar is being spent in the best way possible.
Example: I will reduce my outside expense of shopping from $800/mo. to $500/mo. The $300 I have freed up will go towards a gym membership - the core expense that wasn't reflected in my budget.
Moving Forward
As we evolve and our lives change, so will our Top 3. Consider revisiting this exercise on a regular basis to make sure your budget stays in alignment with the foundational elements that make you happiest. Remember, at the end of the day, we work to live - we don't live to work. So spend money on things that make you feel most alive and girl, ENJOY IT!
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