Money Makeover: Create a Budget Plan For Your Money

Get your finances in order by using these helpful tips on how to create a budget plan for your money.


“A budget is telling your money where to go, instead of wondering where it went.” -John C. Maxwell


No better time than now to get your finances in order by creating a budget plan for your money.

If you are living pay check to pay check and have very little in your savings account, this article is for you! End this year with a bang with more money in your bank this year than you had last year using these helpful tips. I want to stress that these are just suggestions. I am not a financial advisor, so please seek out professional financial experts when dealing with the future of your money.

You might think getting a better job that pays you more will solve your financial problems. News flash: If your finances are not handled responsibly, making more money isn’t going to make a difference. On average, the more money a person makes, the more money they spend. I can’t tell you how many times over the years whenever I had earned a little more cash,  I would “reward” myself with a new car, but in fact, I was only rewarding myself with a new monthly note. That’s why it is so important to learn about money when you are focusing on your career.

Your money problems probably didn’t happen overnight. Just like anything else in life, your past decisions lead you to where you are today. Take responsibility and take action on getting your finances in order. Be honest with yourself and really look at what’s in front of you. Do what you need to do to get back on the right path. The truth shall set you free my friend!! Imagine a life where you have money in your bank with an emergency savings, and a vacation savings. Imagine that you are also able to save for retirement and for your kid’s college.

It can happen and it will if you are focused and disciplined. No matter how “funny” your money is, you can create financial stability simply by starting today. Creating financial stability is something you do intentionally and easier the sooner you start.  Don’t make the mistake thinking you must wait until you make more money.  Focus on mastering how to handle the money you have now. Think about it, if you aren’t able to handle the little money you have now, how do you expect to handle more money? Your money will just slip through your hands and you will be all confused, wondering where it went!

The goal here is to live below your means. People these days are living well beyond their means. They are living paycheck to paycheck and even using credit cards to help them stay afloat.  I personally know all about living above and beyond your means. To live “The American Dream”, I bought a house that I could barely afford. I went through a tough spell, loss my job, and lost everything. What those mortgage lenders don’t tell you is that you shouldn’t be purchasing a home that is more than 30% of your pretax monthly income.  Don’t be like me trying to buy a home that was more than 40% of the monthly income. When living below your means, make sure that you have more cash than expenses. If you are spending more money than you make each month, you got it wrong!


If you hear any of these marketing slogans, run away, fast!!  Never fall for anything that is easy to get. You will pay for it in the long road, and hard! Don’t fall for things such as payday loans and Rent-to-Own Furniture stores. New Flash: These companies are not here to help you. They make money stretching out the payment terms as long as they can so they rack up on interest payments. You can end up paying 200% in interest charges if you don’t pay them back right away.


An income tax baller is someone come across a windfall of money (usually during tax refund season). They normally splurge on the luxuries that they couldn’t otherwise afford. The newfound money isn’t enough to pay for these things in cash, usually it is just enough to put cash down on something that will have to be paid off later. I used to envy the people flashing off those new rides. Now I just shake my head because they are actually flashing an additional car note which also comes with a car insurance payment and car maintenance expenses to their already overbearing expenses. Those tax refunds could have been used to pay off existing debt, or pay for an asset that would allow them to make passive income on. Anything else but accrue more debt.


Create a budget for your home. Set aside time and schedule it in as an appointment including anyone who will be contributing to the budget.

TIP: Find out exactly how much money you take home each month and add up all your bills and monthly payments.

Take out all your bills and lay them out on your table. Read each one and make sure you know exactly what you are paying. Take this time to eliminate or lower any charges you could live without or don’t need. If you are unsure how to create a budget plan, I would recommend Dave Ramsey because he breaks it down!  He is my go-to money expert and I have learned so much from him. Dave Ramsey is a financial author, radio host and motivational speaker. He is known for encouraging people to get out of debt and gives them simple, step by step directions on how one can build financial wealth. I encourage you to try out his online budget calculator to help you map out your initial budget. Be serious about your budget and stick with it. Your financial health depends on it. What you do or don’t do will affect your future.


Just like your life, your money should be balanced.  Here is an example of how money that is managed properly should be balanced out:

  • You should save 10% off the top.
  • Your essential expenses should total only 50% of your income. (Bills)
  • Personal expenses should be only 30% of your income. (Entertainment, Clothing, etc.)
  • Financial Priorities should be 20% of your income. (Home, Car, Insurance, etc.)

Set up auto deduction of your pay check with your employer to multiple checking/savings accounts.

I would recommend that you keep your savings account at a different bank than your checking account. When your savings and checking are at the same bank, it’s so easy to refer to that “transfer function” through online banking when your checking account balance is getting a little low. Using different banks keeps your savings “out of sight and out of mind” because you never see your savings account balance when you log into your checking account.

Here is an example how you can use auto deductions to separate accounts to increase your savings:

You can have three separate accounts.
(1) Main Checking account: Use to pay BILLS ONLY.
(2) Main Savings Account: Use for building an emergency fund
(3) 2nd Savings Account: Use as a Christmas Savings account.
* Start saving for Christmas January 1st.

Building a Savings is Easy!

If you: Auto Deduct only $65.00/pay period ($130/month) and distribute as table above. Total Savings amount if start Auto Deductions Jan 1st, beginning of the year.
Emergency Savings
 Total Savings:
$960.00  by End of December
Per Pay Period
Per Week
Per Month
Christmas Savings
Total Savings:
$550.00 by End of November

Begin budgeting and start operating using the Envelope System.

Use your main bank account for bills only. Have a separate envelope for gas/transportation, groceries, misc, and have a set budget for each envelope. This keep a visual of how much you have to spend and how long it must last. Once the money is gone…it’s gone.

envelop system

This year at your job’s open benefit enrollment, make it a priority to really look into what your job has to offer.

Ask questions and see how the different types of benefits, could benefit you. Take advantage of 401K and contribute enough to where your company matches…this is free money!! Don’t think you can’t afford it, think about all the mindless spending you have done over a course of a year. Start saving for your future!


Set up savings account for each of your children.

With any Savings, start small and work yourself up. You can transfer as little as $5 per pay period and you can increase as your pay increases, and make additional deposits whenever you can.

Pay off your debt.

Get out all those outstanding bills and bills that have gone to collections together and pay them all off one by one, fast as you can, from smallest balance to the largest.

Make your money grow!

After 6 months of savings, reevaluate your interest bearing options, look into investing options and additional IRAs. Get with a financial advisor that could help you in this area.


Learn from the Experts

This is just a quick guide on how you can create a budget plan for you and your family. Learn from the experts. Get in contact with a financial counselor that can help you with your personal budget and help you reach your financial goals.

Good luck on your Financial Freedom journey!

Thank you so much for taking the time to read this article!

To show my appreciation, please submit your name along with your email address so I can email you a FREE pdf COPY of one of my ebooks, “The Game of Job Promotion”, a 12 Code Guide to getting a promotion where you work.

Please check out Dave Ramsey, who is a financial author, radio host and motivational speaker. He is known for encouraging people to get out of debt and gives them simple, step by step on how one can build financial wealth. I reccomend your reading his bestseller book, “The Total Money Makeover: A Proven Plan for Financial Fitness”.

Get your copy!

Check out his website for lots of information,

Thank you so much for taking the time to read this article!

To show my appreciation, please submit your name along with your email address so I can email you a FREE pdf COPY of one of my ebooks, “The Game of Job Promotion”, a 12 Code Guide to getting a promotion where you work.


Thanks again!

In case you didn’t know it, Smile! God Loves you and so do I!  –Queen Kay #queenkaylife

Start a discussion..

What was your biggest take-a-way from this article?

Do you have any tips you want to share?


xoxo, Kay

As always, please LIKE, COMMENT and SHARE!


Author: Kay Smith

Kay Smith would be described as a boss chick who is a self-proclaimed inspirational addict, loves to travel, and the nicest person you’d ever meet. Kay Smith is an Infopreneur who loves to write for the Hustle Kings & Hustle Queens. Her goal is to empower Hustle Queens all over the world by sharing info that is uplifting, encouraging & helps one live a life they love. Are you a Hustle Queen? Follow me on IG! @queenshaveheart

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