Personal Financial planning

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Personal Money Management (Budgeting)
Money is what, money can buy. One thing that matters most in this world is money, and people do not like their money to let it go easily. Realizing and understanding the importance of making a money management routine is something most people never do. However, most people do not know exactly how much they are spending but planning n budgeting can change that.
Allocation of money for a specific purpose comes under budgeting. As money is one of the most essential element of life n people don’t want their money to go waste. But the main problem is most of them doing have any idea about their expenditure n spending elements. But budgeting can solve this problem. Budgeting will manage your money n handle it to get use for the required purpose .in general it is calculate by person’s earning minus expenditure. By budgeting a person will get to know about correct use of money n by following the budgeting practice he can avoid the unnecessary elements which cause waste of money.
Through budgeting he can save money and take the correct use of it. By observing how much he is spending in proportion to earning can save money. Budgeting just requires common sense and simple maths, as whole it’s not a difficult task. It starts with what a person do with his or her income, basically per month after paying taxes. Then comes removing of all unnecessary expense elements. At last you will be having a plan which shows where to use money in correct way.
Keeping money for particular purpose will always keep you safe and happy. As life is full of uncertainties, budgeting may help you to get protection from them. Overall budgeting reduces your risk in financial terms .with having all the knowledge about his finance planning a person know where to use and how much to spend.
Benefits of budgeting
The benefits of a proper personal budgeting can be as:-
• A person knows exactly how much money he is having at a point of time.
• Will get to know about the flow of money into and out of the household.
• He can plan for the future accordingly and come to know what he exactly wants out of it.
Sometime budgeting becomes difficult when you are trying to do in a way that doesn’t suit you. But now it’s remaining a matter of worry no more.
In general, most people manage their money by dividing and allocating it for various purposes like some for household expense, entertainment, travelling, education etc.Then they spend amount of allocated money for that division. this practice help them to know about how much they have spend for particular n how much they will be having in their hand at last. Ultimately this process is proved as some what cumbersome. But with the advancement in the field of IT, today we have lot number of solutions. There are lot of software solutions are available in the market for personal budgeting as money-management software and websites. Here are some names of them:-
 Mvelopes (online personal finance software with a focus on budgeting)
 Quicken (a personal finance management tool developed by Intuit, Inc.)
 ( a free web-based personal financial management service)
Financial software that makes creating a budget easy:
• Provide more budgeting ideas.
• Teach how to refine budgeting skills.
• Help with planning for future large purchases.
All of the free personal budgeting software programs have different features and benefits. The important thing is to choose the one that works for you and your current financial circumstances and stick with it!
Ultimately it comes up to you how much to earn, how much to spend, where to spend, when to spend and for what to spend. But a well planned money management routine will lead you to live a non-stress full and happy life. As it is very well said by someone that “Money is not the most important thing in the world. Love is. Fortunately, I love money.”


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