Budgets aren’t just for businesses and governments — families need them too. But in 2025, keeping one was no easy task. From furloughs to inflation, many personal budgets were pushed to the brink, Harrine Freeman, CEO of H.E. Freeman Enterprises, told WTOP.

“A lot of things have happened this year to kind of throw people off their square and it makes it difficult to stay on track with your budget,” Freeman, leader of the D.C.-based financial planning company, said.

She said many families faced reduced income, medical issues and new caregiving responsibilities, which made budgeting even harder. Some had to cut holiday costs by asking relatives to bring food or stay in rental houses instead of hosting for a week.

For those who went off track, Freeman said the priority now is getting back on track and learning from mistakes.

Start by deciding why you want a budget, she said. Do you want to manage spending, recover from a financial crisis or save for something big?

“It’s easier to create a budget or stick to it when you have a goal associated with it,” Freeman said.

Goals should be realistic and tied to something tangible, such as saving for a vacation or a down payment on a home.

Once you’re ready, she suggested beginning with a clear account of how much money your family brings in and spends.

“Start with how much money you make after taxes, and then look at all of your monthly expenses, and then any other expenses you have,” Freeman said.

Include utilities, rent or mortgage and subscriptions. Check for automatic price increases and cancel “ghost charges” or subscriptions you no longer use.

“If you have any of those, you definitely want to cancel those immediately and make sure that they’re actually canceled,” Freeman said.