Budgie girl,
You did a kindness rescuing your Budgie from the store.
If you want a truely tamed, hand fed bird, you should probably
buy from a reputable breeder at a early age. Your baby budgie
was perhaps started out handfed, but perhaps someone traumatized
her at the store, scaring her on purpose.
My first bird was a baby cockatiel, and she was truely loved by
the breeder and hand fed. But when I took her home, she nearly died from the shock of the move, refused to eat, reverting back to babyhood. I had to take
her back and the breeder showed me how to feed her from a shringe.
But she was then and still has a wonderfully trusting &
loving temperment. That came from the breeder and was my gift as
the trust and love that was established as a hatchling was easily transfered to her new home and me.
Your little bird must have gone thru something, or was just never
trained. Don't give up, you're giving her unconditional love, and
this might just be the way she is going to be. Hopefully she'll
give you the love and trust you shower on her, eventually.
When I first started to live in Bird World, I didn't realize it,
but I was lucky to find a good breeder who questioned me extensively
how involved I wanted to be with my birds. She then made me, MADE
ME, come in several days for aquaintance sessions with my bird,
and lessons on how to properly care for and handle a bird. It really paid off.
Don't give up on her, poor baby.

You're doing the right things.
Budgies are not normally handfed, so her only experiences with hands have probably been seeing pet store employees grabbing other budgies that are sold from the flight, so unfortunately it's very natural for her to think of a hand as a predator. It doesn't mean that she was mistreated, exactly - just never had any positive experience with hands.
I have a budgie (not handfed, but he came from a fairly good situation) and he is still getting tamer at 5 years old. I had him for 6 months before he began talking and seeking out attention, a year before he started flying over when called (for no reward but attention), and it took 4 years before he discovered he really loved being petted. He's still very skittish when it comes to touching his back or grabbing him (to trim his claws).
When I got him, a lot of what I could find recommended holding a budgie in your hands until it 'relaxed' to tame it. I wish I'd never tried that with Pippin. It wasn't until I stopped trying to force him to do anything that he became steadily tamer. At 5 years old he is very, very sweet and loving and cuddly as long as I am very gentle and careful with him.
Oh, and there's a difference between forcing a budgie to do something and bribing. Try taking seed away for a few hours (leave other food) and then offer a nice piece of spray millet in your hand... even try letting her see your cockatiel eating from it. You can also try showing her a mirror and then holding the mirror in your hand. Let her see your hand is safe and encourage her to sit on it. Mirrors can be great for encouraging budgies to go somewhere they are scared to go (if that other budgie's there, then it must be safe).

Karen
Chico (conure) and Pippin (budgie)
WI

Awesome advice. I am in a similar situation wiht my budgie. I got her at a bird show and she was supposidly hand fed, but she is terrified of my hands. I am working with her and I have been given all sorts of advice, but never about the mirror trick. That is something I will have to try. Kacela, keep working with your fid, I am sure we will both get it some day.

I am owned by:
Benjamin Aiden: Chocolate Lab
Ming Mia: Pekingese
Sunny: Sun Conure
Skye: American Budgie

Small birds are much more reluctant and slower to train to step up to the hand. If she is constantly flying away and know she can get away by doing this you might consider clipping her wings. Doe not attempt this yourself if you have never done it before.

I got my daughter two cockatiels because she really wanted to learn how to handle and care for my birds but my Macaws are just too big for her. They are both clipped and can still fly around just not as far. I work with them everyday handling them and practicing stepup. They will nip like crazy at first which can be really painful and once they know you do not like this they will continue to do it so you put them back. Mine have no such luck, after being bit by Macaws a tiny bird beak presents no problems so I just keep working with them as they bite away after a couple of minutes they stop and allow me to touch them and transfer them from hand to hand. Each time I work with them they get better and most of the time the one will come out on his own and the other is almost to that point. While working with them reward them, praise them and give them a treat after doing what you ask. Also only focus on one task at a time. Don't try and get them to step up and talk all in the same training session. Focus on steping up then give them a break and later on work on talking if you so choose.