Prioritise where you
want your money to go
How do I make my money go where it matters most?
The next step is to refine your budget and direct your money to where it
matters most.
This will help you find the right balance between spending and saving.
How does a budget work in practice?
It might sound simple, but using buckets is a good way to sort out your
money priorities.
Imagine you have a big bucket filled with water. This represents all your
money coming in – the total income you entered into the budget planner.
Then you have three smaller empty buckets to help you work out where
you want your money to go.
Of course you can’t pour out more water than you have. So, with the
amount available, you decide how much to put into each bucket.