Lots of people know that they need to make a budget and stick to it, but they forget to update it. The budget you had in college won’t fit your financial life when you are in your 40s and have children. Similarly, the budget you created a year or two ago may not be appropriate this year. Each time your income fluctuates or you incur a new debt on a loan, for instance, you need to update your budget. While doing so you can also update things like insurance coverage; retirement savings, and Internet, cable, and phone plans. That way your budget is always relevant to your lifestyle. You’ll avoid making the mistake of using a stale, outmoded budget that may cause more harm than good.