The term “Budget” means keeping a certain limit of things. When we are at home we have a budget for the home expenses and daily things and when we earn a salary we bifurcate it and keep a budget for expenses and our savings. So, in a similar way “Budgeting in Finance” means creating a plan to spend your money wisely. Having a budget plan is necessary for life to keep a balance between income and expenses. When we don’t do budgeting and spend unnecessary without planning it leads to difficulty and debt. So here “Debt” is a finance term that means we owe more than our income or in other words, spending is more.

Saving is the most important part of one life’s and which only comes through the budget plan and is also necessary for future unforeseen contingencies. So, after having a planned budget the most important thing is to follow it and analysis of it. Time to time analysis is a must. So we can make monthly, quarterly, or yearly budgeting by estimating our income. The timely analysis will help you note down where the spending has to be reduced, or hold on and where money can be saved if the spending is not that important. Prioritizing the things or the scale of most important and less important is the best way to do it. And the saving can be invested or used for good future benefits like any retirement schemes or FD’S. So make a plan, list of things, Spending and savings, and analysis of it, and follow it and can use the best excel template to do it. Budgeting is the best thing in finance to have best future.