Loud Budgeting: A Financial Discipline Strategy

 

Have you heard the term “loud budgeting?” It started gaining traction earlier this year on TikTok (where else?) and has been covered by financial media outlets ever since. An influencer named Lukas Battle coined the term, which is meant to convey transparent and intentional spending. 

Loud budgeting follows a 2023 term called “Quiet Luxury,” where people buy high-quality timeless, luxury items but do not brag about them.

 

Two original TikToks about loud budgeting received one million views in under a month, an indication of the concept’s appeal. Below is a brief summary of key features of loud budgeting that I learned about on a recent webinar hosted by Next Gen Personal Finance:

Unapologetic Truth- Loud budgeting emphasizes being truthful about your budget unapologetically. Instead of saying “I’m sorry but I can’t…,” to a request to do something that involves money, a loud budgeter will say “It’s not in my budget.” No. Apologies. Period. As Lukas Battle once stated “It’s not “I don’t have enough,” it’s I don’t wanna spend it.”

 

Transparent Spending- Loud budgeters are known for tracking and sharing details about their spending. Money-saving hacks of all kinds are shared in an environment of transparency, communication, and collaboration. At its core, loud budgeting involves openly discussing financial goals and constraints within a trusted community of family, friends, and followers.

 

Terminology Rebranding- Loud budgeting is nothing new. People have been creating budgets and sharing money-saving strategies for eons. Loud budgeting is simply a new term for purposeful spending much like “cash stuffing” is a new term for the envelope budgeting method where money for different categories of household spending is placed in envelopes.

 

Focus and Confidence- Successful loud budgeters speak confidently about their goals and plans and do not let others change their mind about opportunities to spend money. Unlike traditional budgeting that tends to be solitary, loud budgeting encourages individuals to openly communicate their priorities.

 

Accountability- Loud budgeting emphasizes transparency, including regularly updating others on your financial status and progress. This, in turn, fosters accountability. Individuals are more likely to stick to their budgeting plans when they know that others are aware of their goals and progress. Collaboration is a key aspect of loud budgeting. Rather than managing finances in isolation, individuals are encouraged to work with others to achieve common financial goals.

 

In summary, loud budgeting is more than just crunching numbers—it's about actively engaging with one's finances, openly communicating with others, and collaborating to achieve financial well-being. By embracing loud budgeting principles, individuals can take control of their finances and work towards a more secure financial future.

This post provides general personal finance or consumer decision-making information and does not address all the variables that apply to an individual’s unique situation. It does not endorse specific products or services and should not be construed as legal or financial advice. If professional assistance is required, the services of a competent professional should be sought.