Why Budgets Don't Work - AOL's WalletPop Canada

Kelley Keehn
Jan 5th 2011 at 11:30PM

I hate budgets because they rarely work. I know, not what you'd expect from a financial expert. But think about this: if your family spends say $800 a month on food and dining out, but a "budget" dictates that you only spend $450 a month based on your household income, that's a tough cut and one that's going to sting. Just like a yo-yo diet, a financial cutback has to be realistic to last long-term.

This year, declare that you'll start with awareness and then move to choice. Start with counting your financial calories.

I think health and wealth are closely linked and are two aspects of our lives that deserve the utmost attention.

Read the full article here:

http://www.walletpop.ca/blog/2011/01/05/why-budgets-dont-work/