Budgeting might sound complex, but it's really not once you take the leap and actually get started. Plus, the payoff is worth the small learning curve.
Creating a monthly budget can put your financial woes at ease because you know exactly where your money is going and how much money you're bringing in monthly. Taking control of your finances can seem daunting, but it's worth it when you're not stressed about your ability to pay your bills on time, while still meeting your personal financial goals.
1.Set A Reminder
First things first, pick a day out of the month to prioritize budgeting and set a monthly reminder on your calendar. When life gets busy, the last thing on your mind will be a budget.
2.Set Personal Financial Goals For Your Budget
As a beginner, it's important to set personal financial goals before creating a budget. Ask yourself, why are you creating a budget? Solidify the long-term financial goals you are aiming to reach, so you can create a personalized plan of attack to conquer your goals. Everybody has a reason for wanting to clean up their spending habits. It's up to you to determine what your budgeting end goal is. Are you budgeting to:
- Save for a car purchase?
- Create or build an emergency fund?
- Pay off current debt?
- Afford a pricey vacation?
Sit down and write down your purpose for budgeting and the exact goals you are hoping to achieve.
3.Pick A Budgeting Method
50/30/20 Rule:
The 50/30/20 method of budgeting was popularized by Senator Elizabeth Warren in her book, All Your Worth: The Ultimate Lifetime Money Plan. This rule offers a simplistic budgeting plan to help others reach their financial goals. The rule recommends spending up to 50% of your after-tax income on necessities and obligations, essentially fixed expenses. Then 20% of the remaining half should be allocated to savings and debt repayment, and the last 30% of the remaining half should be allocated to anything else that you want.
Zero-Based Budget:
Zero-based budgeting is a method of justifying all expenses for the period. Basically, the income minus the outgo has to equal zero for the month. After covering your expenses for the month, if you have $300 left over, then you have to allocate it towards something. For example, allocate the money towards paying off debt, an emergency fund, etc. Studies show this method of budgeting helps people pay off 19% more debt and save 18% more money.
4.Choose A Tool To Create Your Budget
Determine what tool you want to use to create and track your budget. Some people enjoy the old-fashioned pen and paper method, but in this day and age we have many technological options as well. For those who know their way around Excel, you can make a budget using an Excel spreadsheet. If you choose to create a budget, then follow these simple steps:
- Record your sources of income
- Record your monthly expenses
- Divide the expenses into fixed (same expense every month) and variable expenses (changes month to month)
- Total your monthly expenses and monthly income to understand your monthly cash flow
If manually creating a budget isn't convenient for you, then there are many free budgeting tools available to give you a hand. Mint is one of the leading free budgeting apps that automatically tracks your expenses and incoming money by syncing to your bank accounts. Mint helps you to create a budget and set goals with ease.
If you aren't interested in downloading an app or manually creating a budget, then Budgetpulse could be the perfect solution for you. Budgetpulse is a free personal finance software that organizes your cash flow, expenses, bank accounts and allows you to set financial goals.
5.Analyze And Assess Your Budget
Setting financial goals and making a budget is great, but it's important to analyze and assess your budget monthly by creating a plan to meet your goals. How much money do you need to save each month to reach your goal and how will it potentially take? If you're saving towards a relaxing vacation on the beach and you estimate that you need to save $1500, then figure out how much money you will save per month to reach your goal. If this requires you to cut back on expenses, then assess your budget for opportunities to cut-back on expenses or increase your income.
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Now, with more than 20 years of experience in professional aviation, starting with American Eagle Airlines and then on to becoming a captain at American Airlines, she has continued to pay it forward. In 2022, she made history as the first commercial airline captain to lead an all-Black, women-led flight crew. She has also written a biography on Bessie Coleman, the first African-American and Native-American woman to earn a pilot’s license, and produced and directed, Discovering Bessie Coleman, working alongside the family to get the project completed. Add to that her role as a founder of consulting firm LadyAv8rBeth, which offers a guide of pathways into aviation, and as a podcast host covering all things aviation.
For Women’s History Month, xoNecole caught up with the busy pilot, in between flights, to talk about her career journey, her role in a Bessie Coleman documentary and book, how she balances self-care and safety, and how other Black women can add to the aviation legacy:
xoNecole: You’ve built an successful career in aviation. And you were only 15 and already had your first flight. Were you afraid at all, or did it feel like second nature to you?
Beth Powell: It felt completely natural. There was no fear, just excitement and curiosity.
Now, it’s what they call STEM, and my teacher at the time thought that I was really good at numbers. He recommended three career paths, and I tried the first one.
I didn't understand why it made sense back then at 15, but as I grew up and met other pilots, I recognized that the reason I liked math and physics was that we were technical learners. So we like to break things apart and put them back together. We like to check procedures. We like to write manuals. We were technical artists.
xoN: That’s such an important message. Many young women and girls are often discouraged from pursuing careers in STEM or aviation, so it’s incredible to hear your story. Now, fast forward a bit—how did you transition into your corporate career with larger airlines?
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BP: After that first discovery flight, I quickly finished my high school classes and graduated at 16. By 17, I had earned my private pilot’s license, and by 18, my commercial license. Then, I moved to the U.S. to attend flight school in Florida. While working on my degree in professional aeronautics, I began working for American Eagle Airlines at just 21. Over the years, I’ve built my career and have now spent 25 years in the airline industry, including 14 years at American Eagle and 11 years at American Airlines. In terms of leadership, being a captain is key.
As a captain, I’m responsible for the aircraft, the crew, and the passengers. It’s a huge responsibility, and you learn a lot about leadership when you’re in charge of so much.
Being a captain definitely teaches you leadership. You’re in charge of every aspect of the flight from the moment you sign in to the moment you sign out. From overseeing the crew to managing the safety and well-being of passengers, you have to make quick decisions and take responsibility. Even when you’re starting out as a first officer, you’re learning vital leadership skills that prepare you for the captain role.
xoN: There's a lot going on with airlines right now that might make someone feel afraid in terms of some of the tragedies that have recently happened. How do you sustain your self-care balance and your resilience in the aviation industry when those sorts of things happen?
BP: I truly believe that aviation is still the safest and the No. 1 safest means of transportation. I say that proudly. For any airline, any pilot, any air traffic controller—anyone who works in the industry—safety is our number one priority. However, of course, we see things happening in the news, and it is concerning to passengers.
What I'm telling everybody to do right now, including myself, is that it's very important to have your source of strength. I'm a Christian, and one of my sources of strength is prayers. I go deep within my prayers every morning, and I pray to God, giving things that I can't control to him, and the rest— I can do my best to deal with.
No. 2 is meditation on the Deepak Chopra app. Ever since COVID happened, that was the first time I thought that I needed something more than just my prayers to help me go through to calm down the noise around me.
And last but not least, I'm really big on self-development. I read, I read, and I read. If your foundation is strong, you have something to build from. And so, when I read, I learn a lot about myself. I learn about what triggers me and when something triggers me. I literally hear the Kendrick Lamar song, "TV Off" in my head, because sometimes you need to shut the noise off.
xoN: That's amazing—the combination of faith and just being excellent at what you do. Now, how did you get involved with the Bessie Coleman project?
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BP: I sit on the board of advisers for an organization called Sisters of the Skies, and was at a gala celebrating with all our Black women of our achievements. At the end of the night, Dr. Sheila Chamberlain walked up to me. She was the first Black woman U.S. combat intelligence aviator in the Army. So, if she's walking up to me, it's very serious. She said, ‘I have a favor to ask.’ I said, ‘Yes.’ I did not hear what the favor was. I didn't know what she was going to ask me, but somebody like that walking up to you saying, ‘a favor’? The answer is yes.
She told me [the project involved] helping the Bessie Coleman family elevate the story. ‘I'd like you to ask your company if they will do a flight in honor of Bessie Coleman.’ I went to the different departments at American Airlines, and the rest was literally history. We did that flight on August 8, 2022, and it became a historical flight because everyone on that flight, from the ground up, was a Black woman.
Gigi Coleman, Bessie’s grand-niece, was also on that flight. We started chatting at the end of the flight. Another night, we were hanging out—Sheila, Gigi, and I—and she kept telling me she wanted to write a book, that she wished there was a movie, and that people approached her about it. Nothing had been done as yet. And I thought, sounds like another mission.
I literally took it on. We do have a documentary with the family sharing their perspective of who Bessie Coleman is. And we do have a book called Queen of the Skies.
xoN: For the young women who are looking for career paths in aviation, what are some skills they need to thrive?
BP: While you don't necessarily have to love math to be a pilot, technical knowledge is important. You’ll need to understand aircraft systems and aerodynamics. This includes weather patterns and instrument training. It might seem daunting at first, but the great thing about flight training is that it builds on itself. The more you learn, the more it all clicks. Also, aviation is constantly changing, and you need to be adaptable.
It’s a field where you need to be ready for anything, from unexpected weather to technical issues. Being open to learning new things and adjusting to change is crucial.
My daughter, who has her private pilot’s license, once said, “This journey is both challenging and rewarding. I feel like I’ve grown so much since starting.” It’s important to keep going, even when it gets tough.
To help others, I’m outlining how they can go from “zero to hero” as a pilot. I offer this information freely on my Instagram account, and it’s something I’m passionate about sharing. I want everyone to have access to the resources they need to follow their dreams.
For more information on Beth Powell, the Bessie Coleman documentary, and aviation career resources, visit LadyAv8rBeth.com.
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