AN ANALYSIS OF THE EFFECTIVENESS OF BUDGETING IN PERSONAL FINANCIAL MANAGEMENT

Budgeting is an important tool for managing personal finances in today’s economy. Rising expenses and easy access to credit make financial management difficult for individuals. Budgeting helps in controlling expenses, improving savings, and managing debt effectively. This study examines the effectiveness of budgeting in personal financial management in Coimbatore city. The study focuses on individuals’ budgeting habits, awareness of budgeting tools, and the impact of budgeting on financial stability. Primary data were collected from 167 respondents using a structured questionnaire, along with secondary data from journals and articles. The study highlights that budgeting plays a key role in improving financial discipline and overall financial well-being.