Budgeted: meaning, definitions and examples
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budgeted
[ˈbʌdʒɪtɪd ]
Definition
Context #1 | Verb
financial planning
The term 'budgeted' refers to the act of allocating funds for specific purposes or projects within a planned budget. It is a crucial process for individuals and organizations to manage their finances efficiently, ensuring that spending does not exceed income. A budgeted amount represents a predetermined financial plan that helps guide spending decisions. Properly budgeted resources can lead to better financial health and long-term planning.
Synonyms
allocated, designated, planned.
Examples of usage
- We budgeted $500 for the event.
- She budgeted her monthly expenses carefully.
- The project was budgeted to avoid overspending.
Interesting Facts
Etymology
- The word comes from the Old French word 'bougette,' which means 'purse' or 'small bag,' highlighting the idea of containing money.
- Its first use in English dates back to the early 19th century, when it started to refer to financial plans.
- The term evolved to represent not just a physical purse, but the strategic allocation of funds.
Economics
- Budgeting is a fundamental process in both personal finance and government, helping manage resources effectively.
- Many successful businesses attribute their growth and sustainability to effective budget management.
- Financial literacy, including understanding budgets, is increasingly highlighted as a critical life skill.
Pop Culture
- Reality TV shows like 'The Real Housewives' often depict luxury lifestyles, contrasted by the often overlooked concept of budgeting.
- Movies frequently explore themes of financial struggle, illustrating the importance of budgeting decisions on characters’ lives.
- Social media influencers often share budgeting tips as part of a lifestyle niche, encouraging responsible financial habits.
Psychology
- Research shows that having a budget can reduce financial anxiety, as it allows individuals to have greater control over their spending.
- Budgeting often involves setting short and long-term goals, which can enhance motivation and provide a sense of achievement.
- The act of budgeting can cultivate mindfulness about spending habits, encouraging more thoughtful financial choices.
Education
- Many school curriculums now integrate financial education, emphasizing the importance of budgeting for young students.
- There are various apps and tools developed as educational resources to teach kids and adults how to budget effectively.
- Workshops and community classes often provide essential budgeting skills, showing that financial planning is a valuable life skill.