The Incredible Power of Budgeting
Budgeting can be extremely boring subject for most of us, but it plays a vital role to sustained and accelerated wealth accummulation strategy.

Somebody has said it right - "Conduct your Life Business like and you will be financially successful". Having said that, it doesn't mean that you have to live a miserable life. What I want to emphasis, is that you must be accountable for all your expenses and note them down in a diary or budgeting software,  so that you will exactly know where you have spent your hard earned money, and therefore can reflect back upon any unnecessary expenses. You can use simple spreadsheet to record all your expense and income.

Steps to Budgeting

• Breakup all your expense and income into detailed categories and write them in column format in your diary or any spreadsheet like excel.   
• Record all your income and expenses and review them on monthly basis with  an intention to find where you may have overspent, and can save in future.
• Upon identifying your overspending categories, resolve to think again when you intent to spend in those areas where you have overspent in past. The mere realization of where you have overspent may make your aware of your spending habits & might help you to control the problem of overspending. 
• Budgeting will actually show you if you are spending more than you are earning. For sake of awareness, Australians on an average spend 105% of what they actually earn. The rest of 5% percent is funded by personal loan or credit card.

Most Popular Income Categories For Budgeting

INCOME CATEGORIES (Please Modify according to your own Income Categories)
Salary*Wages*Fix Deposit/CD*Investment Income From Dividend*Rentals Other Income

EXPENSES (Please Modify according to your own e Categories) Credit Card Payment Education/Business Loan Payments Rent/Mortgage Payment Insurance, Home/Content Insurance - Car Insurance - Life Insurance - Health Insurance - Other Ongoing Child Educational Fees/Other Clothes Property/Land/Strata Taxes Car Repairs/Maintenance Home Repair/Maintenance Electricity & Gas Water Car Fuel Telephone Bill landline Telephone Bill Mobile Telephone Bill VOIP Internet ADSL/ Wireless Bill Public Transportation Groceries - Milk/Fruits/Vegetables/Cereals/Meat Entertainment - Movies/Joyride/Eating Out Health - Multivitamins/Prescription Drugs Gym - Fees Holiday Vacation Travel - Unplaned Family/Personal Trip Magazines/Other Subscripton Based Services Investment - Property Investment - Stocks/ManagedFund/Bonds Retirement Fund Pet Expenses - Food/Insurance/Medication Household Expenses - Furnitures/Upholstery Personal Hygiene Items Charity Donations

Keshav Jha