Budgets. Budgets. Budgets.

*Warning. This was wrote after taking an AP exam. Post may not make sense or appear disorganized. This was a result of an exhausted and drained Maria*

This week in class we continued to keep up with our bills and payments. On Monday we received our second paycheck, which helped replenish some of the classes bank accounts. Also during this week, we learned about a new concept of budgeting. Budgeting is essentially an outline of the money you receive and what you do with it. You can create a monthly or annual budget. For the sake of this post, I'm going to discuss budgets on a monthly basis. For your budget, you first have to figure out how much money you are making each month. Then you subtract your monthly bills from that income. Then comes insurance and transportation. You also have to pay for food, and entertainment. Whatever is left (if there is any) should be placed in savings. To introduce budgets, we discussed saving. Saving should be important to EVERYONE. We talked about how saving is a habit that needs to be developed. We should set aside money each month in savings. This is so if there is an emergency or an unexpected payment, there is money available so one doesn't go into debt. 
I personally feel that budgets are essential to maintain your  money. Without a budget, you would be spending money without knowing how much you had left. With a budget there is a less chance of you going overboard with your money. Budgets also are useful in showing you what you need to cut back on, maybe it's going out to eat every night, or spending too much on groceries. Without a budget you are less likely to maintain and control the amount of money you have and save.