Advantages of Budget: The following are the advantages of making a budget:
1. The budget helps in saving money for unforeseen emergencies.
2. It helps in distribution and proper allocation of income for expenditure or different items, according to their requirements.
3. It helps the family in spending the money carefully so that the expenditure does not exceed the income.
4. It act as a financial guide.
5. Since all the members in a family work together for the planning of a budget, it induces a sense of cooperation among them.