Tips for Successful Family Budgeting: Staying Flexible and Creative

Tom Snyder, a retired engineer and financial coach in Grand Rapids, Michigan, is helping people in his church learn how to budget effectively. His key advice? Track your spending.

Snyder emphasizes the importance of tracking expenses to know when to stop spending. He warns that irregular costs, such as birthday gifts or vacations, can easily throw off a budget if not accounted for. Successful family budgeting, according to Snyder and other financial experts, requires flexibility to handle unexpected challenges like rising grocery prices or interest rates.

Severine Bryan, a personal finance educator in Atlanta, stresses the need for a flexible budget that can adjust to challenges. She believes that following a set approach, like the 50/30/20 budget, can be a mistake. Bryan tracks her spending with spreadsheets, while her daughter prefers visual graphs. They communicate about spending when necessary to stay on track.

Charlie Bolognino, a certified financial planner in Minnesota, suggests a month-by-month budgeting approach to factor in variable expenses like holiday costs. He advises reducing surprises by planning for unpredictable expenses. Bolognino also highlights the importance of being in sync with your partner when budgeting, as joint goals can strengthen a relationship.

Cara Macksoud, CEO of Money Habitudes, recommends deciding on non-negotiable expenses as a family and creatively meeting those needs with less expensive options. She shares her family’s experience of opting for a road trip instead of an expensive vacation, focusing on being together away from everyday demands.

Erin Voisin, a certified financial planner in California, suggests leveraging community resources to save money on essentials. She has found deals on toys and activities through local moms groups and social media pages. For families in need, resources like 211.org can help find local food banks and bill-paying assistance.

In a time of rising inflation and increased costs, budgeting creatively and prioritizing essential expenses can help families navigate financial challenges. By staying flexible, communicating with partners, and utilizing community resources, individuals can find ways to spend on what matters most to them.