Loud Budgeting: The Trending Strategy That’ll Transform Your Finances

It’s no surprise that the start of a new year triggers resolutions, habits and trends and 2024 is no exception. One emerging financial strategy that encapsulates all three is “loud budgeting.” This new approach is making noise across social media and has been coined as 2024’s first financial trend. Here’s what loud budgeting is and how you can implement it into your financial planning:

What is loud budgeting?

Loud budgeting is a proactive saving strategy that puts your long-term financial needs first. Loud budgeting breaks the silence on talking about and prioritizing your financial goals. In practice, it looks like setting boundaries on spending, communicating your financial goals to your loved ones and limiting impulse purchases in order to meet your savings goals.

This concept was first introduced on TikTok by @LukasBattle and he coined it as “the opposite of quiet luxury”—a 2023 trend focused on investing in understated luxury purchases like clothing and furniture. He explains loud budgeting’s motto is: “It’s not I don’t have enough, it’s I don’t want to spend.” Loud budgeting destigmatizes the need to unwillingly accept plans and purchases to fit a certain social status and empowers you to take control of your financial well-being and long-term happiness.

How to implement loud budgeting

1. Determine your long-term financial goals

You’ll want to get clear on your larger savings goals before you start loud budgeting. Your goals could look like saving for a long vacation or putting aside money for buying or building a home. Refer to your financial plan to remind yourself of your money mission or schedule a call with a financial advisor to help you build one.

2. Communicate your goals to your loved ones

Communicating your financial needs is at the heart of loud budgeting. Don’t be afraid to decline social plans, like going out to eat at an expensive restaurant or a weekend getaway with friends, if it'll put you behind on your budget. When approached with an invite, clearly explain that you’ll have to pass on this opportunity, describe what you’re saving for and offer a cash-conscious alternative.

3. Prioritize saving

Loud budgeting transforms something negative, declining short-term purchases, with a positive: saving towards a fulfilling, long-term goal or purchase that aligns with your financial priorities. You can also prioritize saving by keeping an eye on your spending and following your budget within MyFinance Manager.

While you’re monitoring your spending habits, don’t forget to regularly check in with your financial advisor to make sure you’re on track with your goals. Don’t have one? Contact an advisor who wants to hear about your plans.