Explain in detail the advantages of budgeting?

Question

Explain in detail the advantages of budgeting?

Answer 1

In Detail????  Why take something simple and make it complicated?

The less money you make and the more that you spend the more you need to budget. This is true in business and in individual life. Think about it. If you have millions in the bank and live a frugal life style, budgeting is not important. On the other hand, if you are spending all you make or spending more than you make budgeting becomes more important.

That being said, it is amazing how often just the opposite happens. The person with a million dollars in the bank got that way because they did budget. The one who lives paycheck to paycheck never budgets.

Budgets let you decide how you are going to spend and save your money. Without a budget you are probably spending much more than you think you are and spending it on things you really do not need.