The three keywords that form our title are interwoven. They are closely linked in the sense that, if you want to invest in anything financially, you must save. Then for you to save, you must also have a workable budget. We shall be considering each of these keywords in detail.
BUDGETING
The Oxford Advance Learner’s Dictionary defines a Budget as “an estimate or plan of the money available to somebody and how it will be spent over a period of time”. We can then say that the art of making a budget is called budgeting.
Budgets are common with government establishments, companies and individuals. In this piece, we’ll be focusing on Personal/Individual Budgeting. Budgeting is very important, for it saves us from wasteful and reckless spending. Mr. Lanre Oyetade of the Tribune titles in one of the Editions of his Money Talk divided the concept of Budgeting into two types for personal Budgeting. They are,
1. Debt-free Budgeting and
2. Debt-servicing Budgeting.
1. Debt-free Budgeting
This is the budget proposed for someone who is without a debt i.e. owes no one. It is broken down into,
10% for tithes,
10% for Savings,
10% for Investments and
70% for Daily/periodic needs such as feeding, housing, fees, clothing etc.
The percentages listed above refer to that of the total money available as income.
2 Debt-Servicing Budgeting
This type of Budget is for those owing debts. They are by this urged to pay as they get their income instead of deferring payment. It is broken down as follows,
BUDGETING
The Oxford Advance Learner’s Dictionary defines a Budget as “an estimate or plan of the money available to somebody and how it will be spent over a period of time”. We can then say that the art of making a budget is called budgeting.
Budgets are common with government establishments, companies and individuals. In this piece, we’ll be focusing on Personal/Individual Budgeting. Budgeting is very important, for it saves us from wasteful and reckless spending. Mr. Lanre Oyetade of the Tribune titles in one of the Editions of his Money Talk divided the concept of Budgeting into two types for personal Budgeting. They are,
1. Debt-free Budgeting and
2. Debt-servicing Budgeting.
1. Debt-free Budgeting
This is the budget proposed for someone who is without a debt i.e. owes no one. It is broken down into,
10% for tithes,
10% for Savings,
10% for Investments and
70% for Daily/periodic needs such as feeding, housing, fees, clothing etc.
The percentages listed above refer to that of the total money available as income.
2 Debt-Servicing Budgeting
This type of Budget is for those owing debts. They are by this urged to pay as they get their income instead of deferring payment. It is broken down as follows,
