Apr 16, 2012

How I Budget ~ Putting It ALL On Paper

The first step is simple enough.....PUT IT ALL ON PAPER. Budget with every pay check. This often requires starting a new budget every time. Write down your estimated gross. For example;
  • estimated gross = 1500
Then write down every bill due within the paycheck period. For instance if you get paid every 2 weeks write down each bill due throughout the next 2 weeks. Don't forget birthdays and special occasions, treat those as bills too, along with your gas and grocery budgeted amounts. (Keep in mind if you have to travel within this period) Set yourself a limit and list that amount as if it were the amount due. For example;
  • Phone bill - $185
  • Car note - $379
  • Car insurance - $125
  • Personal loan - $356
  • Credit card payment - $77
  • Aly's birthday party - $25
  • mom and dad's anniversary - $75
  • Grocery - $200
  • gas - $150
If you go over your budget; Reevaluate your expenses:
  • Search for birthday gift ideas for Aly's birthday present, you will find thousands of ideas for budget friendly party gifts specifically for her targeted age.
  • If you don't have to travel at this time, take a few days to stick around the house, maybe even get some of those honey do projects done. That don't cost anything, of course.
  • Maybe even budget your menu planning for the next 2 weeks a little tighter. Are there some recipes you can spruce up as disguising the fact they are left overs. (Don't forget to check your freezer for freezer meals.)
After you reevaluate, list them again.
  • Phone bill - $185
  • Car note -$379
  • Personal loan - $356
  • Car insurance - $125
  • Credit card payment - $77
  • Aly's birthday party - $12
  • Mom and dad's anniversary - $75 (there is no budgeting here ;-))
  • Grocery - $100
  • gas - $120
Once you have a total you are happy with write the checks!

Next week I will show you what to do with "left over money"