What is a budget and what benefits does it give you?

[Knowlopedia]

A budget is an estimate of what you can afford to spend over the course of a year, or a month. It helps you plan out your spending and be sure that you're able to cover your expenses. A budget is an important financial tool that can provide three key benefits:

1) Alerts - A good budget will let you know if there's something wrong with your habits and give tips for change;
2) Prevention - A budget can prevent overspending by highlighting when funds are low, which saves money in the long-run;
3) Peace of Mind - When things are on track, having a budget feels great! You know what's coming up and have some control in life. The relief is tangible.

Just like learning the rules of chess, the benefits of budgeting are often a matter of knowing how to play the game. We have some tips below on how you can start budgeting and what you can do to make it work for you.

Know Your Personal Goals: Setting personal goals is important in setting your budget and determining if what you're doing is working or not. After all, no one else wants to be held responsible for your financial well-being! However, keep in mind that setting financial goals isn't enough - use them as a compass so that when you get back to spending, it's pointing towards your goal. The goal should be clear, definite and based on your long term financial needs.

 

[Augusta]

The budget is like an estimate that one makes with one income and expenses to help the person spend wisely. This is one thing that everyone should do for their financial well-being because without having a budget you can overspend unknowingly which will have a bad effect on your financial life.

so budget making is of good benefits as you have rightly stated which includes you knowing the financial status of the person. it will also help you to know when to stop spending especially when you are having financial difficulties you'll be able to balance your expenses with your income

 

[Nightmare]

What is budget?
Budget is simply an arranged and well organized expenses schedule, that determines how your spending will goes.
As an individual, there are a lot of things you derive from budget. Taking part in budgeting will engage you in a lot of useful factors and therefore tgere would be low amount of financial problems, and you would really enjoy your income. What are the benefits derived from budgeting?
Below are factors or advantages of budgeting :
•Fast development financially.
•Lesser financial problems.
•Better way of spending your income.
•Increase in economization.
•Lastly, there would also be decrease in irrelevant spending.