ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -Everyone’s situation is different but a monthly review of your budget is a great place to start. If you think you need to look at it more often, by all means, do so. Less often may also work for you.

Detailed explanation-2: -While your budget shouldn’t change too much from month to month, the fact is, no two months are exactly the same. That’s why you create a new budget every single month-before the month begins.

Detailed explanation-3: -Working with your budget Most organizations make sure to review their budgets on a regular schedule-once a month is usually reasonable-and revise them to keep them accurate. If you get a grant you didn’t anticipate, or if your spending estimates are off, these things should be figured into the budget.

Detailed explanation-4: -Even though many popular budgeting programs are set up to help you allocate your money by the month, monthly budgets are not setting you up for success. You’ll gain greater control by budgeting weekly.

Detailed explanation-5: -Monthly budgets are popular because many recurring expenses, like rent, utilities, credit card payments and other loan payments occur on a monthly basis. Ideally, your budget will involve spending less than you make each month, leaving you with money to save.