Are you grappling with financial debt, student loans, or just seeking financial freedom? You should start a budget.

The thought alone of building a budget might make you mentally tired. Don’t despair. There are fun ways to organize your income and expenses that will leave you feeling liberated. And we’re going to tell you all about them.

Budgeting doesn't have to result in a frugal lifestyle, if that's not your interest. Instead it will help you figure out how to make the most of your money by answering these three questions:

1.) How much do I earn? 
2.) Where does my money go?    
3.) Can I afford that?

A budget sets you on a path to financial success that offers long-term and short-term benefits. Whether you're paying a monthly rental insurance fee or saving up to be a first-time home buyer a budget is an important part of creating a financial map that will help you reach your destination.

Three Life-Changing Reasons to Budget

Freedom: Avoiding confinement in your personal and professional life is one of the most important reasons for budgeting. "When you budget, you are in a power position where you can make decisions that bring you closer to your life's dream," says Manisha Thakor, co-author of personal finance book On My Own Two Feet.

Understanding how you save and spend money now makes it easier to change course later in life. It also gives you the power to build reserve funds or work towards a life goal – like graduate school or a trip to Europe. A budget also provides the financial freedom to leave bad situations if you’re stuck in a dead end job or in a toxic relationship.

Debt-Free Living: A budget can help you escape a financial sink-hole. By prioritizing your current debts over other expenses – like going out to dinner – you can work your way towards debt-free living.

Whittling away at debt comes with many benefits. First off, you can stop making those monthly interest payment on your loans. Once your loans are gone, your credit score will likely improve. Your debt to credit ratio, or the amount you owe on accounts, is one of the five elements used to determine your credit worthiness. An improved credit score can translate to better savings when you need to borrow money again.

Respect for Your Energy: Most of us make our money by working.  Each day we plug away at our jobs and in return we receive a paycheck. That means every time we make a purchase we're spending what it took our life's energy to make.

The process of "budgeting is respecting your life's energy," says Thakor. A budget helps you to make the most of the value of  50 weeks – sans 2 weeks for vacation – at the office.

Really, the pros of budgeting are endless. But to realize any of them, you have to create a budget that works for you. Check out our guide on building a budget once you're ready to get going.

Want to Know More?

• How to Make A Budget that Works
• How to Stick to Your Budget