Budgeting is the process of creating a plan of one’s expenses in order to keep track of the inflow and outflow of money. 


Think of it like a blueprint to how you will use the income you earn, or the money you have. 


Using a budget, you can assess your spending at regular intervals. Imagine doing a full-body X-ray in which you can see which part of the body is malfunctioning. 


A great idea is to look at actual bills, as that can give you a clear idea of your spending patterns which can then become the basis for your budget.  


This could mean re-looking at your spending patterns and trying to cultivate healthier spending habits, because the whole idea of budgeting is to spend mindfully.