A Simple Formula for Budgeting

New to budgeting or experienced, creating a personal or family budget can be difficult.

It can create stress and often results in a marital fight. But it really doesn't need to be difficult.

What creates the "difficulty" for most of us is that we never learned how to budget. Not from our family and not from the educational system.

When we don't know how to do something it creates a lot of stress.

So, let's start with a very simple formula. This formula is something I came across many years ago, when I first started researching how to become a real estate investor. When I found this formula I just couldn't believe this was the basis of becoming "RICH".

Yes, you heard me, "Rich!" Because once you understand how this formula works, you can create wealth.

So, now I bet you are saying, well tell me the formula.

And I will in just a minute. But first, I want you to look at the formula. And then I have several questions for you.

Formula: Income - Expenses= Base line

Yep, that is the formula. Your income (from all sources) minus your expenses (from all sources) equals your base line. Your base line is what is left over after all your spending.

Your Base line is what you have to invest. Your base line can grow.

So, now for those questions: There are two ways to grow your base line, what are they?

Which way is easier for you?

Wouldn't you want to do both?

We will talk more about this later, and if you have any questions, let me know.