“Budgeting as are Rotaractor for Effective Resource Utilisation ” RTN. FREDRICK MUBIRU ( PHF) President Nominee 2013-14 ROTARY CLUB OF KAMPALA NORTH P . O. Box 5362 Kampala, Uganda Email: mubsug@yahoo.com

“Rotary Theme of the year” “Reach Within to Embrace Humanity” “Theme of the Month” “World Understanding and Peace”

Abstract The thesis of this presentation is that proper budgeting leads to effective utilization of resources. It takes financial intelligence to gain financial freedom through creation of wealth in this world.

Definitions The term Budget is expected income and expenditure for a given period of time. The term Financial Intelligence means you spend less than you earn, which also means you spend less than you have. This is the first step on the road to being truly wealthy.

Definition continued Financial Independence is the next step. Then you are independent of your job, you don't have to work for a living. This means your passive income is larger than your regular monthly expenses.

Financial Freedom is the last step Financial Freedom is the last step. You are free to purchase whatever you want when you want. There are degrees here, which depend on your desires Examples : Bill Gates, Tiger wood , Madonna's of this world

Why should we budget ? Human wants are unlimited but the resources are limited. Resources should be allocated to the most pressing wants. As Rotaractors purchase what you need most.

How to make a budget Plan to gather every financial statement you can. Record all of your personal sources of income. Create a list of all your monthly expenses. Break your expenses into two categories: fixed and variable expenses. Total your monthly income and monthly expenses. Make adjustments to your expenses against your expected income. Make it are point to review your budget monthly.

Personal Budget Income 1 Salary 500,000 2 Profits and Dividends 400,000 3 Donations and contributions 300,000 Total 1,200,000 Expenditure Food Rent 250,000 Charity Contributions 150,000 4 Entertainment 200,000 5 School fees 600,000 6 Investment 1,900,000 Deficit

How to get out of it Choose to tell the truth to yourself about yourself and your situation. If you don't, who are you deceiving? To fool yourself is to choose illusion over reality, to prefer a life of pretence rather than what is actually so to you. Accept Reality Without a Struggle in your life. Stop your Self-Sabotage to future progress. So don't react, rather allow your actions to create what you do want for the future. Then you focus on your intentions.

How to get out of it ( continued) Realize Needs are A Choice - Your Choice. If you don't mind what will happen , then it doesn't matter. Never Spend It All. Have Money in Your Pocket - Always. Accept all Help to get out of it Gratefully. Give Generously but Carefully. Live on just 70% of Your Income.

Five characteristics of financially intelligent people. Live below their means. They do not get into debt for liabilities. They get into Debt for Assets and from friendly source. They Understand risk management. Long term expectation (financially intelligent people focus on long term achievements)

Why why why ???!!! Why would you live a life-style that is way above your means ? Why would you get into debt to buy a car,a phone ,clothing's or a vacation ? It definitely does not make any sense to make any of these financial decisions, but they are sadly the type of decision that has so many people nearing bankruptcy.

Conclusion If you want to improve your current situation then learn from the above characteristics in the world. Take a long look at your current financial situation and start to work towards your long term financial freedom and peace in the world. THANK YOU ALL