Simple Fixes for Staying in Control of Your Money

5 Budgeting Mistakes to Avoid (and What to Do Instead)

Running a business is hard enough, your budget shouldn’t add to the stress. If your money feels out of control, a few quick fixes can help.

  Common Budgeting Mistakes (and Easy Fixes)

1. Guessing Instead of Budgeting Stop relying on mental math. Use last month’s bank statement to create a simple budget that includes:

• Fixed expenses (rent, software, subscriptions)

• Variable expenses (supplies, gas)

• Monthly income goal

2. Not Paying Yourself Even if it’s small, add “Owner Pay” to your budget like any other bill.   Try $50/week to start.

3. Forgetting Irregular Expenses Plan ahead for costs that pop up once or twice a year:

• Taxes → save $100/month

• Website renewal → save $25/month

• Inventory or equipment restocks

4. Confusing Sales with Profit Just because money comes in doesn’t mean it’s yours to spend. Break it down like this:

• 40% expenses

• 20% taxes/savings

• 10% you

• 30% reinvestment

5. Avoiding the Numbers Set a weekly 10-minute check-in to look at:

• What came in

• What went out

• What’s coming up next

Final Tip:  You don’t need a perfect system, just a clear one. Small tweaks and regular check-ins can make a big difference.

Keep it simple, and stay consistent.