Fitst Step
The first step is to take your notebook, pen and calculator and sit down with your spouse or by yourself. The first thing you want to write down on your monthly financial budget is your gross income per month. In other words write down your entire income on the first line. Under your income, write down each income source. Example:
Total Monthly Income-$4,500
work- $3,500
Investments- $1,000
Step 2
Next, underneath your total income source, write a line across the page and underneath the line, write down all of your outgoing housing bills. Mortgage payment, telephone payment, satellite or cable payment, and any other. Add up the expenses and total the expense underneath the outgoing housing bill section.
Step 3
Next, write down your grocery expense for the month. Calculate the amount that you generally spend on groceries. Add up your total and put the number at the bottom.
Step 4
Next, write down your transportation payments(automobile notes). Also include in this section gas and set back a little bit for any monthly maintenance costs. Also include your car insurance payment in this section.
Step 5
Next, included any credit card payments and bank note payments. This is called your debt section. Add up all of your monthly credit card payments and any other debt. Add up the debt and write it down below the debt section.
Step 6
Next, write down your personal use section. Include dining, trips and activities in this section. Try and calculate a set amount for the month for this section and stand by it.
Step 7
Next, write down a miscellaneous section. In this section, include any other outgoing expenses and write down the total amount at the bottom of the section.
Step 8
Lastly add up all of your outgoing expense from each line and subtract the total amount from your total income. If you have any money left over, you can consider putting some in a savings account or back into the budget.
