I’ve posted already about what I plan to do as we enter the new year, but not a lot about why. Why is my budget so important? And why now?

Honestly, there are quite a few reasons and they’re all different. I think writing everything down, organizing my thoughts, and making a plan will help me take control of each reason so they can stop taking up space in my brain. I don’t want my finances to be looming constantly in the back of my mind. If I’m going to be thinking about my finances nonstop, I want it to be in a positive way, and that’s what I’m hopeful for (in addition to all my quantitative goals)- to think and feel positively about my finances.

But what are all these little reasons that have been lurking?

1. Lifestyle Creep

I am definitely guilty of lifestyle creep and I KNOW that this is in my control (or at least it can be once I take control of it). As my salary has increased over the years, so has my spending. And while it’s normal to want nicer things as we get older and make more money, I want to be thoughtful about where I’m spending more and not just doing so across the board in every category (like why am I paying DoorDash fees so often when I can walk to a restaurant or grocery store?!) My spending needs to make sense with my income and it also needs to align with my priorities.

I will say, though, I don’t regret my few years of living in a luxury apartment building by myself. The rent was outrageous, but those few years of doing it all on my own (safely, in a big city) was worth it for me and my personal growth. Some other areas where my spending increased…not so much. So balance & nuance will still be important to me throughout this journey.

2. The Economy

Inflation is real! Shrinkflation is real! Everything is SO expensive in all categories and it truly just adds up. I think I wrote about this a bit in another post, but this stuff stresses me out! I want to keep an eye on spending so I know where to cut back, because I know if I keep buying the exact same groceries or services that I did 2 years ago, I’ll be spending significantly more than I was back then.

The economy is also impacting the job market. There have been layoffs left & right (some at my own company), rumors of an impending recession (other rumors that we’re already in one), and I want to have my safety net prepared just in case I’m impacted by unfortunate employment circumstances.

3. Goals for my Future

I want a big, comfortable life! I want to buy a house, start a family, have a wedding, take care of my aging parents, adopt more animals, travel more, donate to causes that are important to me, explore new hobbies. I want to do it all, and doing it all is EXPENSIVE. I don’t need anything fancy, I just want comfort, security, experiences, and the ability to give back. But these days, that requires at least a modest amount of wealth. So that starts with discipline and being smart about how I spent and invest what I already have.

So, that’s what’s been in my brain lately. Hoping to have a little more peace and calm and clarity as this journey begins in just 10 days. Happy budgeting!