I shouldn't be answering this either as we don't "budget" as such but we have reached some amazing financial goals through living frugally (managed to pay for our DD's private primary school fees for example, on mostly a single wage).

My basic philosophy is to live simply. Think of solutions that your Nana may have used to economise. You need to make it a way of life. Our ego's are often our biggest expense. If you can examine your 'needs' and discover that they are only "nice to haves" you'll save a fortune. Do you need new clothes? No, you can most likely do with second hand. Do you need a late model car? No, you only need a car that's safe and reliable. Don't let it affect you that you aren't keeping up with the Jones in terms of what "stuff" you have. Remember the best things in life are free!