Sometimes a wrench gets thrown in your well-laid plans. You may end up with a flat tire that needs to be replaced, a trip the emergency room, unexpected bills and birthdays that you need to buy gifts for. Even when you plan it out on paper during that first month, you may be worried about you are going to make everything come together with your extra expenses. But if just one more thing goes wrong you are teetering on the edge.
A budget can help you plan for the unexpected. It can help you to set aside money for gifts each month, so two birthdays in one month will not kill you. It can find extra money to put into a car repair fund, and allow you to save money each month to cover your medical costs. Your budget can also help you cut your spending when you need to find extra money fast.