What is Your Starting Balance & Why Does It Matter for Your Budget?

When creating a budget, most of us focus on tracking our expenses, but tracking your income is just as important. This includes knowing your starting balance.
  1. Iwona says:

    Hi Kumiko,
    I’m still in process to fully transfer my financial habits, but there is one thing that I struggle. So from my every check I save $300, but also have my cc debt which I try to pay off as well. My hubby arguing with me that I should use my savings to pay off all CC debts and then starting saving. From my perspective and my financial mental health it will somehow change my comfort that I achieve.
    Could you advise?

    • Kelly says:

      Just my two cents, but credit card debt is a beast with interest rates. If you have $1000 saved as a cushion, why not throw every penny at the credit card debt? However, if you don’t have a cushion, maybe reduce saving from $300 to $50 or $100 a month, and throw the rest at the debt. Because then you can increase your savings based on the interest you’re currently paying. All the best to you!

  2. MARK GELBER says:

    As an accountant, budgeting is a very important aspect of matching your income to expenses. With everything that is going on in the world right now and people out of work, maintaining a budget is the way to go to track all items income and expenses. I have several of my clients doing this right now. If I can be of any assistance please advise.

  3. ChrisFong says:

    Hello Dear,
    I Read Your Blogs Before 1 Years. Always Your Blogs is Very Helpful For Me. I Appreecite For Youe Blogs. Your Blogs is Always Helpful For US.
    Thank You so Much For Your Blogs Writting Dear.

  4. Neha tomar says:

    Hi
    Thank you for sharing the post, Such a nice information. I really appreciate your work. Keep up the good work.
    Thank you.

  5. Kandi says:

    I always keep money in my checking to ‘roll over’ to the next month. I have a number of bills that are due the first week of every month, generally before I receive a paycheck. Keeping a starting balance eliminates worry.

  6. Carol says:

    Miko thanks for clarifying this part of the budgeting process. I am on month 12 of your system and all I can say is Thank You. Ignorance is NOT Bliss but knowledge is!

  7. Katherine says:

    Hello Kumiko,

    When will the budget book be available?

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