Personal budgeting really is a lot like dieting. No one likes doing it, but almost everyone needs to monitor their eating habits on a regular basis in order to stay fit.

In both cases, the key is consistency. Starving yourself for a month then eating normally again isn’t healthy and won’t help you keep off the weight you lose.

Similarly, living on bread and water for a month as a means of saving money might, in fact, save you some money in the short term - but it’s also a miserable existence, and you can’t live like that for very long.

Moderation is important in personal budgeting, just as it is with food. All sensible diets allow for the occasional tasty snack of “forbidden” food - as long as it’s infrequent and in small portions.

By the same token, you can live on a frugal budget and still allow for occasional trips to the movies, or new outfits of clothes, or a new CD now and then.

Another important thing to remember with personal budgeting is that you’re only human, you’re bound to mess up occasionally. When a dieter has sworn off sweets and then loses his or her willpower and has a bowl of ice cream, is it the end of the world?

Is the diet over? Should they just give up? Of course not.

Likewise, you might have committed to spend less on “frivolous” items yet find yourself having trouble living up to that goal. It doesn’t mean you should give up. You have to forgive yourself for those slips, re-evaluate and adjust your goals if necessary, and strive to do better next month.

Above all, don’t stress out about it! The whole reason you’re living on a budget is so you can have LESS stress about money, not more. Allow yourself time to adjust to living on a budget as it will take a couple months to form new spending habits.

Personal budgeting is not hard, but it does take discipline. It also requires constant check-ups. Just as a dieter needs to get on the scale at least once a week to chart his or her progress, you need to monitor all your spending on a regular basis.

Write down everything you spend. Most banks provide online banking, which makes it easier to track your expenditures. You need to get in the habit of keeping track of everything, though. It’s the only way you can ensure staying on target.

In the end, your goal is to be financially healthier and happier. You want to shed the unwanted pounds of credit card debt and be truly free. You’ll feel so much better about yourself when you do, and your financial future will be brighter because of it.

» American Personal Debt - Independence Day!
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» Beyond Budgeting - The Prize In The Distance
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» Budget Living - Financial Discipline & Success
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