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Uncommon Personal Finance

Money Management

The $0 Budget: How to Plan When You’re Starting from Scratch

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You’re staring at your bank account. It’s empty. Bills are looming. Your fridge is half-stocked, and payday feels like a distant dream. Where do you even begin? 

If this sounds familiar, take a breath—you’re not alone. Starting from zero is more common than most people admit. And while it may feel like budgeting is only for people with money, the truth is: the best time to start budgeting is when you have none. Because that’s when every dollar matters most. 

This guide will walk you through how to create a budget from scratch—no fluff, no judgment, just a clear plan to help you take control of your finances. 

Know Your Numbers 

Before you can manage your money, you need to know where it’s going—even if it’s not going far. 

  • Income: Write down every source of money, even if it’s irregular. That includes side gigs, government assistance, child support, or even cash from selling old stuff. 
  • Expenses: List everything you spend money on. Start with fixed costs (rent, utilities) and move to variable ones (groceries, gas, subscriptions). 
  • Reality Check: Don’t guess—look at your bank statements, receipts, and transaction history. This isn’t about perfection; it’s about clarity. 

Tip: Use a notebook, spreadsheet, or free app like EveryDollar to track. 

Prioritize Survival Essentials 

When money is tight, focus on what keeps you alive and functioning. 

  • Non-negotiables: Food, housing, utilities, transportation. These are your core expenses. 
  • Bare-Bones Budget: Strip away the extras. Cancel subscriptions, pause dining out, and lean on community resources like food banks or public transit. 
  • Negotiate: Call service providers to ask about hardship programs or payment plans. You’d be surprised how flexible they can be when you’re proactive. 

Remember: You’re not cutting back forever—just until you stabilize. 

Track Every Dollar 

When you’re starting from zero, every dollar has a job. Tracking helps you stay accountable and spot leaks. 

  • Daily Tracking: Make it a habit. Check your balance, record your spending, and review your budget weekly. 
  • Tools: Use free apps or a simple Google Sheet. Even a sticky note system works if you’re consistent. 
  • Mindful Spending: Ask yourself before every purchase: “Is this helping me survive or move forward?” 

Stack this habit with something you already do—like checking your phone in the morning. 

Create Micro Goals 

Big goals can feel overwhelming when you’re broke. So start small. 

  • Examples: Save $10 this week. Pay off one overdue bill. Cook at home three nights in a row. 
  • Momentum Matters: Small wins build confidence and create a ripple effect. 
  • Financial Snowballing: Once you hit one goal, roll that energy into the next. Progress compounds. 

Celebrate every win—no matter how small. You’re building a new financial identity. 

Build Your Emergency Buffer 

Even $5 in savings is a start. The goal isn’t perfection—it’s protection. 

  • Start Tiny: Round up purchases, stash birthday money, or save spare change. 
  • Side Hustles: Sell unused items, offer services, or pick up gig work. Every extra dollar counts. 
  • Emergency Fund: Aim for $100, then $500. It’s your financial safety net. 

Think of your emergency fund as your “sleep better at night” fund. 

Mindset Matters 

Budgeting from zero isn’t just a financial challenge—it’s an emotional one. 

  • Shame & Comparison: Let go of guilt. Everyone starts somewhere, and your journey is valid. 
  • Resilience: You’re not failing—you’re rebuilding. That takes courage. 
  • Affirmations: Try saying: “I am capable of managing my money. I am building a better future.” 

Your mindset is your most powerful financial tool. 

Final Thoughts 

You don’t need money to start budgeting—you just need a plan. By knowing your numbers, prioritizing essentials, tracking every dollar, setting micro goals, and building your buffer, you’re laying the foundation for financial freedom. 

Starting from zero isn’t the end—it’s the beginning of something better. 

What’s your biggest challenge when budgeting from scratch? Drop a comment below—I’d love to hear your story. 

Photo by Towfiqu barbhuiya on Unsplash

Mint is Shutting Down

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Well, Mint the personal finance app is shutting down.

Have you tried Mint? I have a Mint account laying around here somewhere, not sure where I placed it. I remember logging in sometime during C19. But honestly, I never really liked it. I know there was a paid version, but I just tried out the free version. (The Ads ruined the experience) It was nice that you could sync your bank accounts and some other financial information.

I’ve never really been a fan of these apps that pull information, don’t get me wrong they work great, and sometimes the transaction data can be helpful if you have some unexpected charge happen out of the blue. My main problem with these apps (Other than the Ads) is that they are just telling you information that you should already know, they are showing you the past. I’m much more interested in the future.

I enjoy the planning that comes along with telling my money where to go and what to do when it gets there. Like sending money to my investments on a regular schedule. I don’t need to be reminded that I did this, I always plan for it ahead of time. I just need a calendar to do this. No other software is needed. Keep money simple.

Sure, I can easily complicate things by adding a bunch of apps that remind me that I spent $7 on an Iced Starbucks Vanilla Latte with Caramel Drizzle while I wandered around the mall waiting for my daughter to finish her “Shopping” with her friends. Do I really need to know this after the fact? My credit card company will remind me after every charge via text message just in case it wasn’t me. (You do have notifications on, right?)

I’m more of a spend-what-is-in-the-envelope kind of guy. But I use credit cards instead of envelopes and just pay them weekly. I get the security of not having my checking accounts/debit cards floating around out there “on the Dark Web” or any web for that matter. (So Scary…)

So anyway, Mint is going away. They are owned by Intuit, the same people that own Credit Karma and QuickBooks. Don’t get confused, The Mobile App “Quicken SimpliFi” was once a part of Intuit but has been spun off to be its own thing. (As far as I can tell)

If I had to choose an app to use, I would lean towards Empower. They used to be Personal Capital. I do like the Net Worth tracking of it and it can be used for free.

If I was going to pay for budgeting software, I would lean towards YNAB. The software is great for envelope budgeting and the community seems great. They also make YouTube videos that are helpful to their community, unlike other apps/software companies that I’ve seen online.

What are you using? Anything? Spreadsheets? I love a good Spreadsheet.

Simple Bank Closing Down

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Most people don’t cry over their banks. Well, I guess I do. In the past few days, I received an email from Simple bank informing me that BBVA the parent company of Simple Bank had decided that it was time to shut the doors on my favorite online bank.

Why does this matter at all? Well, Simple was one of the OG online banks that popped up in the 2000s. I‘m always on the early adopter’s list for pretty much anything online. You could say I’m a professional Beta tester and part-time Alpha tester.

When Simple opened their Beta doors I jumped on board and was pleasantly surprised by the ease of use and Simplicity of their online money management concept. They offered a nice to use digital cash envelope system, which I often offered my advice to the developers on ways to improve.

I told everyone I knew that they should open a Simple Bank account, why not it’s free. Well, over time I kind of stopped using Simple as my “Main” bank in favor of banks that allowed me to deposit cash at an ATM. This is something that all online banks are failing to grasp. They need to allow their users to deposit cash easily, instead of getting a money order and then taking a photo in-app to deposit it. Sure it’s convenient, but not optimal.

Now it seems that the current owners (BBVA) have decided to plunder and pillage, instead of making Simple a more known name in the online banking world.

As of today, there is a “Thanks for the memories” place holder on the main Simple page.

A few other things to note at the time of writing this post. BBVA the parent company of Simple Bank is also in talks with PNC Bank to decide its own future. PNC being the bigger of the two.

I also heard that Azlo Bank an online business bank was also closing its doors. Not sure why, but welcome to 2021 the twin sister of 2020. Know what I mean?

How to create a simple budget

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Budgeting 101: How to create a simple budget

First, let me get this out in the open before we continue. This is not the way that I budget my personal or business finances. I use a very different method for my financial management. I will cover what I do in another blog post. This information is for the beginning budgeter that needs to get a grip on their money and needs some simple but effective steps to get them heading in the right direction.

Welcome to Budgeting 101. If you are having a hard time managing your money or just need to get some type of game plan going so you can worry less and be that organized person everyone wants you to be, then this is for you.

The steps are easy to follow they are:

  1. Write down all of your expenses and total them up.
  2. Write down all of your income and total them up.

If your income is a bigger number than your expenses number, then you are in good shape.

If your expenses number is bigger than your income number then we have a small problem that we need to address right now.

If your expenses are bigger than your income you will need to reduce your expenses. Look at your list of expenses and see where you can cut back on some spending. Can you remove a streaming subscription and save $15 a month, can you remove some premium channels from your cable service and reduce the bill by $20 or $40 per month? I find it is easier to adjust a fixed bill and make a real difference on the bottom line than it is to just cut back on my morning coffee at Starbucks or skip a few breakfasts during the month.

In my opinion, it is ok to reduce a fixed bill and not feel the pain of the reduction versus sacrificing on the random little pleasures that help you get through the day and months of your life.

Ok, so now that you have reduced some of your fixed bills you should be looking a lot better than before. If your income is now bigger than your expenses, then you are done. The point was to make sure you have enough money every month to handle your bills, and now you do.

If you want to automate your bill-paying, then you can make sure all your bills are set to autopay themselves from your bank account. Just make sure you always have the money in your bank account. If you want to pay your bills the old fashion way, manually, then you will need to grab a calendar and place all your bills on the calendar so you can keep an eye on them and never miss a bill’s due date. This will require you to check the calendar every week just to make sure you always know what is happening with your bills.

So, to recap.

  1. You need to know your expenses.
  2. You need to know what your income is.
  3. You should reduce any bill that can be reduced.
  4. You need to know when the bills are due.
  5. You should make sure that they are paid on time. Every time.

Remember this is just the starting point for a beginner. The game of money management can be more complicated and have several moving parts.