For many of us, budgeting can feel like a loaded term. It’s one of those words, along with diet, that immediately triggers thoughts of restriction, limitation, and deprivation. But much of this comes down to perception. After all, anyone who eats has a diet; anyone who deals with money has a budget. Applying meaning to these concepts should create opportunity, not deprivation. So, let’s talk about how to create a budget that works for your family.

1. Start with surrender.

At Revo, we believe that our material possessions come from God, and that we are merely stewards of them. Put another way: You can’t take your money with you to eternity, but you can make the most of it here on earth. Starting from this headspace can help remove some of the strain and help you better process your responsibility when it comes to your family and money.

Take a moment to list out your values and priorities—these might come from your faith, but they might also come from your community and family. These values will be important in every aspect of managing your wealth and creating a financial plan. At Revo, we don’t limit giving to a strict 10% tithe. Rather, we suggest you start from this position of stewardship and work to ensure your values come through in every aspect of your financial plan.

2. Define your goals.

Notice we didn’t specify financial goals. That’s because your finances are intended to support a well-rounded life, not the other way around. Perhaps your goal is to be able to send your children to college, and to retire without being a burden on them. Those are life goals with a financial component.

When we talk in terms of goals, and not just dollar signs, we can take time horizon, risk tolerance, and how to balance multiple priorities in your life into account as well. That makes it easier to weigh any potential tradeoffs and come up with a plan that feels constructive, and not restrictive.

3. Track your current expenses.

To truly get a handle on your finances, it’s important to take an honest inventory of what you have and what you spend. Below is an example of the budgeting worksheet we share with new clients to help them track what they’re spending each month.

At the highest level, compare these monthly expenses to your income and see where you land. Are you making more than you’re spending? If so, you’re likely in good shape and can start to think about how to allocate the surplus funds to support your family and your goals. If not, having all of your expenses on paper can help you assess what changes to consider.

4. Distinguish between needs and wants.

This can be easier said than done. The list of necessary expenses in 2025 is quite different, and much more extensive, than it was 30 years ago. For instance, a smartphone is a necessary expense for most of us, as the world (from employers to your child’s school) expects you to be reachable most of the time. Still, it’s important to be honest about what truly constitutes a need. You might need a smartphone, but you may not need an unlimited plan or the most up-to-date model.

This way of thinking doesn’t have to be restrictive, however. If your family is growing, you may truly need a bigger house, and the higher house payments that come with it. Being honest about your needs and wants is less about rules and restrictions and more about creating a framework for making wise decisions.

5. Create monetary goals.

At this point, you should have a handle on how much money you have left over each month to put towards the goals you defined earlier in this article. How you put your money to work to achieve those goals, however, can be complex. In general, there are a few areas we suggest you start with:

• • Pay down high-interest debt. Remember, the borrower is a slave to the lender (Proverbs 22:7). While borrowing money can give us flexibility in our financial lives and create opportunities we wouldn’t otherwise have, it’s best in moderation. High-interest debt can quickly derail some of the best-laid plans (financial and otherwise).
  • Create an emergency fund. Life happens—whether it’s a natural disaster or a surprise blessing, having savings tucked away can keep your finances on track when life hands you something unexpected. There are other steps you can take as a family to help protect your finances in case of an emergency, too.
  • Save for longer-term goals. When you start to think about future goals, you may have a number of competing priorities, such as your own retirement and your kids’ college fund. To help you prioritize, consider the various options you have to pay for each goal. For instance, there are loans available to help with college costs, but you can’t pay for your retirement with a loan. You can also delay your timeline for retirement, but you can’t adjust when the government requires you to start taking RMDs.

 

Once you’ve listed out your monetary goals, you can start to assess how to allocate any remaining funds each month to various pursuits. A few things to keep in mind.

• • Do you have seasonal expenses? From the end-of-year holidays to tax season and birthdays, some months may come with more expenses than others. Have you prepared for that?
  • Did you plan for fun things? Vacations may seem like a “want” but rest is a critical part of living a happy and healthy life. Make sure you find ways to enjoy yourself that make sense in your budget. God is generous and wants us to enjoy the blessings he has provided.
    
    

At this point, you hopefully have a handle on your day-to-day relationship with money and ways you can adjust your habits to better suit your goals. Now is a great time to be reminded of the first priority: our time and energy should be poured into honoring the Giver with what He has entrusted each of us with. At the end of the day, “The earth is the Lord’s and everything in it” (Psalm 24:1).

If you have questions about how to create a sustainable budget for your family or want to discuss the best ways to invest your money to improve your chances of reaching your goals, set up a time to meet with our team.