Alternatively, if the balance is growing from month to month, you are on the right track and you should probably look for good investment opportunities with the potential to increase your income further. If the end balance is lower than the starting balance, you need to look for more ways to save or increase your income. Additionally, you can see the End Balance, specifically the difference between the amount in the Starting Balance and the End Balance of the actual expenses column for the month. In addition, you can click the 'View Report' to see your entries results. By entering your income and monthly expenditures, you can see how much you have left to save and where your money is being spent. The Monthly Budget Total section at the top provides the difference in the overall income and the quick overview of your budget. One of the most important aspects of controlling your budget is to determine where your money is going. Of course, this may not always be the case and some expenses can sometimes be unavoidable, in which case you can always look for other expenses that can be limited or eliminated. It helps to spot expenses in various categories where you might have overspent and potentially help you to prevent doing this again. Household Budget Planner lets you see the estimated and actual income and expenses side-by-side, which is very convenient, especially when you update your spreadsheet regularly. At the end of the month, when all actual Income and Expenses are recorded, the Household Budget Planner provides a detailed summary of where you stand financially. Updating the actual income and expense section regularly as incurred throughout a month ensures the accuracy of your budget and prevents from overspending. For example, this could be your accumulated savings during previous months. The starting balance is the money that you have at the beginning of your budget before you factor in any current or future income. In this section you should also enter your starting balance, whether it is positive or a negative amount. Predefined formulas in the "Monthly Budget Total" section are responsible for summarizing your budgeted and actual income and expenses. Categories are equipped with a row that calculates the "Total" for the group. In the income section you will need to enter your monthly income expected from each of your income sources. Savings can be in the form of things such as cash, investing in shares, contributing to superannuation or, most commonly, paying down or retiring debts (including principal repayments on credit cards, personal debts and mortgages).How to use the Household Monthly Budget Spreadsheetīegin by entering values in the Budget column of each category. Once you have a rough idea of your spending, you can simply deduct it from your income to figure out how much you can potentially save each budget period. If you don’t, one big bill is going to blow your monthly budget entirely. Because I budget monthly, I then divide those costs into 12 and include them as line items in my budget (“Household Fund” etc) to make sure I am provisioning for such future costs. Professional fees: financial, legal and other fees to get my financial affairs in orderĪt the start of each financial year, I make an estimate of my likely expenses in each category.Holidays: all costs associated with taking a holiday.Birthdays and Christmas: gifts for myself, my son and others.Health: health insurance and $1000 a year for unexpected medical expenses.School: school fees, uniforms and extra curricular activities.Car: registration, comprehensive insurance, compulsory third party insurance, regular servicing and repairs, parts and roadside assist.Household: strata fees, council rates, home insurance, water bills and $1000 a year for emergency household repairs.Then, you need to list all your outgoings across three different types of expenditure: direct debits, variable spending and regular contributions towards large expenses or spending goals (I call these “Future Funds” – more later). For people on irregular incomes, you can either choose to estimate a sum you think you are likely to receive, or you can budget off the minimum you know you will receive. Because I am paid regularly, I can just divide my annual salary by 12 to get my monthly income. I budget monthly, even though I am paid fortnightly. Download my free monthly budget template here.įirst: set a time frame for your budget and determine your income. If you’re not, I still encourage you to still have a stab. Ok, let’s assume you are mildly familiar with where your money goes, it’s time to create a budget. I send out links each week to my 10 budget category worksheets. Did you miss my series breaking down my 10 spending categories? No worries, sign up to receive my free weekly newsletter email via this link /moneywithjess or /moneywithjess.
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