Setting Household Budget Priorities for a happy family

If you want to set the budget in your household, you need to arrange all incoming and outgoing budget each month, you simply can’t buy goods you want, you have to buy the things you really need in life in every month.

So you have to distinguish between "wants" and "needs" so that the settings of your household budget can be managed without any shortage in order to become a happy family.

There are three activities that you do to learn to manage your household budget:

1. List your income
2. List your outcome
3. Arrange your spending priorities for one month. Remember, what you need!

List your income, important first in managing the household budget, if there is no income, how you arrange everything you need let alone that there is desire, the more revenue the better to arrange your household budget.

List your outcome, is the second most important thing after an your income. list your required monthly expenditure called your monthly needs, remember what you need it!

The third is a list that determines how your spending in the next month, bring your notepad to record, what you give priority to your purchase this month, and then grouped all spending this month in a different category, so you more easily understand about all Your spending.

After one month before you record all your expenses, you are ready to set some priorities you need each month and you do not need each month and delete it from your shopping list every month, it aims to reduce the risk of spending beyond your income every month.

this is always painful for you, reducing your shopping list, for those of you who love shopping. but above all you have to do to reduce your budget is excessive!

The objective standard for the household budget

As pointed out by the Psychology of Abraham Maslow famous explaining the needs of every human being, the list below may help you in setting your priorities in the household budget. This hierarchy has been described in the following form (starting from the most important):

1) physiological needs (food, water, sleep, personal hygiene)

2) safety needs (employment, income security, protection against violence, family safety, health)

3) Love / belonging needs (friendship, family, social networks)

4) Esteem needs (recognition, self-esteem, sense of contribution)

5) Self-actualization (the ability to use your talents, creativity, enjoying life)

Practice for the application of the hierarchy to your household budget

In preparation for the household budget, you must distribute the money for the goods that satisfy physiological and safety needs before allocating your money to the needs at the next level. let's see how the way the workings.

Physiological needs are the most important in your life such as water, food, sleep, and personal hygiene to survive as well as basic nutrition and shelter is that you must meet first time in your household budget.

Next in line or the second order of hierarchy is the need for security or safety. This requirement allows you to support your family and keep them safe. Basic costs for transportation from home to work, work clothes, and make your home more secure environment (including taxes), and health care, insurance included here.

But, here is where you need to be careful in manage.

Then to "Love / Belonging needs", this event includes family entertainment, dining out occasionally outside, family trips or vacations, other items required is, internet, cable TV, and a movie, and also includes magazines and newspapers including the This criterion

If you have excess money that just is continuing to further needs. If your budget runs out, then suspended for your needs remain unfulfilled. This is the part which is very painful in the manufacture of household budgets, but it also reduces your anxiety of wondering when the bill collectors will call or the courts to collect on your debts.

so you can prioritize the items in your household budget in the use of  Maslow hierarchy of human needs. good luck in practice. keep the spirit!