James can't wait to get his hands on a spreadsheet. Right after he gets done with Angry Birds.
Another great post from Fred Wilson, a successful venture capitalist and partner at Union Square Ventures in New York. This one has nothing to do with startups or high-risk/high-reward finance and any of the nice juicy VC stuff. This one is all about...budgets. Budgets...for kids! Here's Fred:
For a long time, probably the first fifteen years of our life together, [my wife and I] lived paycheck to paycheck. Sometimes it was two paychecks, other times it was one. For a brief period as I was starting Flatiron, it was none. I got shingles that year.
As our income went up and down, our spending had to do the same. I created "fredsheets" that we looked over, debated, discussed, and then adjusted and signed off on. Then we created budgets so that each of us would live to these spending plans. It worked. We always made it to the next paycheck. Many times by the skin of our teeth.
In the second fifteen years of our life together, we've had the pleasure of living in a different financial situation. But we still use budgets. We created budgets for our kids which they live up to. We created budgets for our real estate projects, our angel investing, art collecting, and so on and so forth.