This is considered by Mr Patrick Lim, an associate director of financial advisory firm PromiseLand, to be the most basic good money habit and tool to control your finances.
A realistic budget that is drawn up an adhered to will go a long way towards helping one live within one's means.
"By keeping track of where every dollar is spent, the budget shows where the money goes to and how much is left over," he said.
in fact, why not go a step further, raise the bar and pose a personal challenge to yourself to become debt-free within a reasonable time-frame, says Alpha Financial Advisers manager Cai Zhong Zhien.
Another tip is to review your budget every 12 months, or when your circumstances change, such as when you receive a windfall or inheritance, or when you have a new addition to your family.
Aricle from '10 Good Money Habits', Straits Times, January 4th 2009.
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