For the last couple of days I’ve been thinking about budgets. Businesses, particularly large ones, have very advanced budgets and therefore tools in place to monitor and analyse cash flows and budgetary concerns, sometimes even in real-time.
You can bet that a company like Facebook has the ability to show ad revenue per hour and probably per minute. Obviously this is outside the scope of nearly any small business to put together, but the concepts are still valuable. Tracking your income and expenses as accurately as possible allows for quicker decisions and possibly the ability to identify trends that might disappear in aggregate.
There’s the old adage that What gets measured gets managed. To that end tools like Mint help with personal finances a bit, but sometimes you need some better real-time feedback on your spending behaviour.
Something that I want to get a better feel for personally is how spending matches up to my budget, if a couple of purchases blow the budget I want to know about it as quickly as possible so that I can adjust before sitting down at the end of the month to review my accounts.
I may try to put together a custom system to create budget alerts for this kind of thing by scraping credit card transactions. It could be very beneficial.