Wondering how you'll ever save enough for a tiny house? This episode is for you!
In 2013, I sat down and tried to account for ALL of my expenses. Not just the monthly ones that were obvious. What about the expenses that only pop up once per year? After I had a total of my yearly expected expenses, I created a budget that included saving every single month towards all my yearly outflows. I did this as a part of adopting the YNAB methodology for Budgeting. Jesse Mecham, the founder of YNAB (You Need a Budget) is my guest on today’s show and we’ll talk practical tips as well as the philosophy behind budgeting for a tiny house (or any major expense). YNAB is software that helps you implement Jesse's Four Rules of Budgeting:
- Give every dollar a job
- Embrace your true expenses
- Roll with the punches
- Age your money
They may seem simple, but these four rules combined with some planning and discipline can help you save for any big expense and break the paycheck to paycheck cycle that so many of us live by.
In This Episode:
- Jesse explains YNAB’s 4 Rules for Budgeting
- Why budgeting isn’t about spending less than you make
- Jesse’s tips for budgeting for a big project like a Tiny House
- The importance of not sprinting all the way to your tiny house goal
- When should you create a separate budget for a project?
- How can you apply budgeting to other areas of your life beyond money?
Links and Resources: