I have had positive experiences creating a personal budget. It allowed me to see
where my money was going and how I could cut corners and save money. It also
allowed me to see what money I would have extra for spending or savings.
Yes I've tracked my expenses to see if anything has changed. My method was I make
a list. I list type of bills and how much they cost. And then I subtract it from how
much I make and then I would go over what was left to see if there was less then
there should be at the end of the month. I crunch my numbers to make sure I stay
within my budget and can make sure I pay all my important bills before I spend on
anything else.
Tax withholding can affect my budget at the end of the year because if too little has
been taken out at the end of the month I could be left owing money. And if i'm not
prepared for that at the end of the year it could leave me in the negative and tight
on money. If too much is taken out it could leave me short on money and unable to
pay my bills. That's why I only claim my son on my W-2 forms so I'm not left owing
money at the end of the year.
