How do you start a budget?

Budgeting sounds like a big task, but here’s our CCO Ellen’s advice. The first step is super simple: check where your money actually went last month. Rent, food, utilities. Write it down and you’ll start to see your spending picture.

From there, you can decide what to tweak and what to keep. Want some help? Ellen recommends apps like YNAB, to make it easy to track. Think of it as giving your money a map, so you know where it’s been, and where you want it to go next.

FYI: We’re not affiliated with YNAB. It’s just a tool our Chief Credit Officer likes.

More in this series

The most common reason credit scores drop
Andrew, a Possible member since 2021, is looking for a straight answer about what most often causes credit scores to fall. Ellen Falbo, Chief Credit Officer at Possible, names the single event that hurts scores the most and explains the life situation that usually triggers it.
1:14

How to plan for your future and get out of debt in midlife
Tiandra, a Possible member since 2024, asks Ellen Falbo, Chief Credit Officer at Possible, where a middle-aged woman should even start when it comes to getting out of debt. Ellen gets it. She offers a starting point that goes against what most of us were taught: put yourself first, before the debt.
1:47

Why Your Credit Score Varies by Bureau
Felycia wants to know why her credit reports never seem to match up. Ellen Falbo, Chief Credit Officer at Possible, explains how reporting delays, different scoring models and incomplete credit bureau data create those gaps. She also shares how Possible uses real-time cash flow data for a more current picture.
1:35

How Many Trade Lines Do You Actually Need?
Sharon wants to know how many credit accounts a person should carry. Ellen Falbo, Chief Credit Officer at Possible, shares the number she personally keeps on her own reports and explains why intentional credit use matters more than volume.
1:12

Why Credit Drops Fast But Builds Slowly
Lisa asks why one missed payment can destroy her credit score while months of on-time payments barely move it. Ellen Falbo, Chief Credit Officer at Possible, explains the predictive logic behind the imbalance and what it takes to prove a missed bill was a one-time event.
1:20

Why Paying Off a Loan Can Drop Your Credit Score
Shannen paid off her car loan and watched her credit score dip. Ellen Falbo, Chief Credit Officer at Possible, explains why closing a trade line can trigger a temporary drop and how long it typically takes to rebound.
1:18

Financial Literacy Class: Credit scores, budgets, and how to use both
Your credit score affects more than your ability to borrow money. It can shape your housing options, career prospects, and insurance rates. This session, led by CCO Ellen Falbo at our Full-Court Finance event, covers the credit ecosystem and three practical budgeting methods, with real numbers and concrete examples to help you take control of your finances.
38:17

4 Easy Ways to Check In on Your Money Right Now
Quick financial check-ins today can set you up for a stronger tomorrow. Here are four things you can do to stay on top of your money.
1:29