Quote from: bubilas on May 09, 2025, 06:32:05 AM

Quote from: George Edward on April 28, 2025, 09:05:34 PM

Budgeting can help a bitcoin investor in several way but firstly what is budget ,
A budget is a financial plan that help a person outlines projected income and expenses over a specific period. It helps individuals or organizations manage their finances, prioritize spending, and achieve financial goals. But when it comes down to the usefulness of budgeting as a bitcoiner
It can help to manage risk when investing ,so that a bitcoiner doesn't overextend himself. Budgeting also keeps a bitcoiner disciplined about his or her finances, making sure a bitcoiner prioritize his needs over his wants.
Plus, having a budget in place can help a bitcoiner figure out how much he can afford to invest in Bitcoin, and when it's time for him to diversify his portfolio.
By tracking his expenses, a bitcoiner will definitely get a better sense of his financial situation which makes it easier for an investor to make smart investment decisions.

Yes, if someone writes down all expenses in the budget appendix and knows all their expenses, then that's great. Because two or three months of such records are enough and all expenses will become obvious. And after that, it will be possible to forecast expenses for the month, know how much money will be needed. And if such a guy knows how much money he earns and how much he spends, then he can understand how much free money he has left per month. And then you can invest this money without fear of spending extra money that could be needed for everyday needs.

Knowing how much to spend, how much to invest, and knowing how to distribute these incomes to investments if there are monthly incomes that change, creates a great advantage. In fact, individuals with good economic management can do this. What is important here is to proceed with a plan and ensure continuity of resources, that is, regular provision of income.

It is also necessary to use the advantage of portfolio diversification because, instead of catching a single increase, catching multiple increases and making a profit thanks to a diversified portfolio always provides an advantage to the person.