The correct answer to this open question is the following.
Although there are no options attached we can say the following.
Austin wants to start budgeting so he first identifies his needs and his wants. This will help him create a solid budget because he is going to know what his priorities are. Knowing the things that he needs would make him allocate the proper money to get them. Then, after this is accomplished he would see if he has the money to spend on the things he wants such as entertainment and other fun things.
So Austin has to prepare a good budget so he stays out of trouble. He has to identify his income, see what kind of expenses he can afford, and determine his financial goals.