How to Create a Budget, Save Money, and Achieve Your Financial Goals

Michael Ygaña
3 min readJan 5, 2023


Achieving your financial goals can be an intimidating task. With all of the money coming in and out each month, it can be hard to keep track of what you are spending and saving. Creating a budget is the best way to ensure that your money is being managed effectively, allowing you to achieve your financial goals.

Step 1: Identify Your Financial Goals

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The first step to creating a budget is to identify your financial goals. This will help you determine what you need to save, how much you can spend, and how to allocate your income. Ask yourself questions such as: What are my short-term and long-term goals? How much money do I need to save for retirement or a house? What do I need to do to reach these goals?

Step 2: Track Your Income and Expenses

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Once you’ve identified your financial goals, the next step is to track your income and expenses. Start by writing down all of your sources of income, such as your salary, investments, and any other sources of income. Then, write down all of your expenses. This includes everything from rent and utilities to groceries and entertainment.

Step 3: Set a Budget

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Now that you have all of your income and expenses in front of you, it’s time to set a budget. Start by setting a spending limit for each category. For example, you may want to set a limit of $500 for groceries and $200 for entertainment. Then, subtract your expenses from your income. If you have money left over, you can use it to save or invest.

Step 4: Adjust Your Budget as Needed

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Finally, you should adjust your budget as needed. If you find that you are not sticking to your budget, you may need to make changes. You may need to cut back on certain expenses or add more money to your savings. It’s important to be flexible and make adjustments as needed.

Creating a budget is the best way to manage your money and achieve your financial goals. By tracking your income and expenses, setting a budget, and making adjustments as needed, you can save money and reach your financial goals.



Michael Ygaña

I write all about my realization and lessons I learn everyday