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When budgeting, it is crucial for a person to know each and every expense that one has in a given month. By knowing each expense inside and out, a person is able to better prepare to handle his or her finances for the month. For example, if a person knows what his or her electricity bill average is, then he or she will likely not spend money that needs to go toward paying off that bill. In addition, a person will be more conscious about spending even on necessary items, such as groceries. Figuring out an electricity bill average is important.

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