The Truth About Budgeting: It's Not What You Think

Hey there, wealth builders! Stoy Hall here from Black Mammoth, and today we're diving into a topic that makes most people want to run for the hills: budgeting. Now, I know what you're thinking - "Stoy, budgeting is boring and restrictive. I don't want to track every penny!" Well, buckle up, because I'm about to flip everything you think you know about budgeting on its head.

P.S. I am here to answer your emails, send em!

The Budgeting Myth

Let's start by busting the biggest myth about budgeting: it's not about restricting your spending or making you feel guilty about every purchase. Nope, that's old school thinking, and we're here to change the game.

What Budgeting Really Is

So if budgeting isn't about restriction, what is it? Here's the truth:

1. It's About Awareness: Budgeting is simply about knowing where your money is going. That's it. No judgment, no restrictions - just awareness.

2. It's About Alignment: A good budget aligns your spending with your values and goals. It's not about cutting out everything you enjoy - it's about making sure your money is going to the things that truly matter to you.

3. It's About Freedom: Yeah, you heard that right. A well-planned budget actually gives you more freedom, not less. When you know where your money is going, you can spend guilt-free on the things you love.

The Black Mammoth Approach to Budgeting

At Black Mammoth, we take a different approach to budgeting. Here's how we do it:

1. Start with Joy

Instead of starting with expenses, we start with what brings you joy. What do you love spending money on? Travel? Food? Your kids' activities? We make sure these things are built into your budget from the start.

2. Combine Similar Categories

We often see people stressing over separate grocery and dining out budgets. Here's a tip: combine them into one "food" category. This gives you more flexibility and reduces stress.

3. Include a "Fun Money" Category

Every budget needs a "no questions asked" category. This is money you can blow on whatever you want, guilt-free. It's crucial for sticking to your budget long-term.

4. Focus on the Big Picture

Instead of tracking every penny, focus on the big picture. Are you moving towards your goals? Are you spending on things that truly matter to you? That's what really counts.

The 12-Month Exercise

Want to really understand your spending? Try this exercise:

1. Gather your bank and credit card statements from the last 12 months.

2. Color code each expense based on category (housing, food, entertainment, etc.).

3. Add it all up and see where your money is really going.

This exercise often leads to some big "aha" moments. You might realize you're spending way more on Amazon than you thought, or that your coffee habit is costing more than your car payment.

Technology: Your Budgeting Buddy

Let's face it - manually tracking expenses is a pain. That's where technology comes in. There are tons of great budgeting apps out there that can do the heavy lifting for you. At Black Mammoth, we have our own app, but there are plenty of free options available too.

The Bottom Line

Here's the truth: budgeting isn't about restriction - it's about intention. It's about making sure your money is working for you, not against you. When done right, a budget can actually be liberating, not constraining.

Want to dive deeper into budgeting strategies? Check out my No BS Wealth podcast where we break this stuff down even further.

Remember, the goal isn't to track every penny - it's to make sure your money is aligned with your values and goals. That's what real financial freedom is all about.

At Black Mammoth, we're all about helping you create a budget that works for you, not against you. Want to learn more about our approach? Check out our website at blackmammoth.com or hit me up on YouTube.

Until next time, keep building that wealth - and remember, a good budget is your ticket to financial freedom, not a barrier to it!

Stoy Hall, CFP® Founder, Black Mammoth

P.S. Got questions about budgeting or want help creating a budget that actually works for you? Hit us up at nobswealth.com. We're all about cutting through the BS and helping you create a financial plan that lets you live your best life!