1. A budget is a roadmap. It is a useful tool and guide. It tells you whether you are headed in the direction you want to be headed in financially. It helps you to move from spending on a whim to saving and financial planning. If you don't have a roadmap for reaching your goals and desires, then you can't even measure your progress and you are unlikely to succeed. Would you ever find a major corporation that operates without a budget? No. Neither should your family.

2. A budget empowers you to take control of your money instead of letting your money control you.

3. A budget can improve your marriage. The number one cause of marital strife is money. Your budget is a neutral tool to help you and your spouse communicate rationally about money. It can help to give you a common purpose and to minimize arguments about money.

4. A budget helps you prepare for emergencies. The top causes of bankruptcy are sudden unanticipated expenses or job loss. When you have an emergency fund, you are much more likely to get through a situation that would otherwise sink your financial ship.

5. A budget makes money available so that you can use it on the things that really matter to you rather than impulse purchases.

6. A budget can help get out of debt or stay out of debt.

7. A budget gives you peace of mind. You won't lie awake at night due to worry about your finances.

Budget Q & A

Q: What exactly is a budget?

A: A budget is a realistic reflection of your current financial situation plus a projection into the future based on reasonable predictions. So it's both a snapshot and a plan.

Q: I'm new to budgeting. What's the best way to get started?

A: First, do your homework. There is lots of budgeting advice available in bookstores and online. See the Resource box for some starting places.

Second, keep track of your actual expenditures for at least a month. Write down every penny. You'll be astonished at the money leaks you discover.

Third, plunge in and make your first budget. It will undoubtedly need tinkering and adjustment, so don't let the desire for perfection stop you in your tracks. Make a budget, compare your actual expenditures to the budget, and see where you have to change the budget or your spending. It's a process, not a single destination.