Making out a budget is easy. Staying within that budget is the hard part of money management. Simple concepts such as paying all the bills first do not align well with human nature and excellent marketing strategies.
People in this culture are often valued based on the items they have accumulated. The big house, the luxury vehicle, the corner office, and the latest electronic gadgets are viewed as signs of intelligence, success, prestige, and wealth.
The desire to want more can be overpowering and marketing companies spend significant amounts of time and money to feed it. People still using their DVD/VHS players for movies and watching on a thirty-two-inch screen, for example, are ancient, out of touch and way behind everyone else. It makes no difference that both items still work well and suit the need for distraction, as well as the desire to watch a movie at home.
Blowing the Budget
It is the combination of human nature, the message that people deserve what they want when they want it, and peer pressure that can destroy a budget. It takes discipline to maintain a budget and most people lack discipline these days.
It is easier to buy the latest version of a smart-phone now and worry about how to cover the car insurance bill when it arrives in the mail. Rent is not due for another ten days and those cute shoes are on sale today. Those with discipline will leave the shoes in the window, others will spend some of the rent money on the shoes.
Working on building the discipline to stay on budget is a process, so there will be times when people slide back into making impulse purchases. When that happens a non-traditional lender, such as Maxlend Loans, will be able to help with an installment loan. The interest rate will be high, but payments are spread out over three to six months.
This provides an alternative to a payday loan that incurs even higher interest rates and must be paid back in one lump sum. Work on sticking to the budget, but always have a backup plan until the budget can be followed successfully.