Why Budgets Don’t Work

by | Jan 4, 2011 | Cash Flow, Fee Only Financial Planning, In The News | 1 comment

As a species, humans are notoriously poor at following through with their plans. In this series on living a sustainable life, Tara Siegel Bernard writes that, “Sticking to a budget — a dirty word even among many financial planners, who prefer the more euphemistic ‘spending plan’ — feels too much like dieting. And we often fail at both for the same reasons: too much focus on the restrictions, not enough on fun. So it’s not surprising when people end up binging later, more than making up for dollars not spent or calories not consumed.”

To read the article and some of the advice she gleaned from her interview with Rick Kahler, CFP, click here.

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