1. Start General and Gradually Move to Smaller Time Ranges
In your financial calendar, ALWAYS start by looking at the whole year. Remember to include annual and bi-annual expenses and anything special or unique and to include all school-related purchases.
Yearly Expenses (Tuition, Car Insurance, etc.)
School tuition (for yourself and your kids), car insurance, extra add-ons for your vehicle, property taxes, and land-related costs and expenses all fall under your annual budget. Total of these expenses up and set the total aside.
Make sure all of your taxes are paid and make it easier on yourself by doing this on a quarterly basis. You'll get better at your taxes, you'll start seeing how little changes in your behavior affect your tax return, and you'll feel more confident and comfortable with the whole process.
Monthly expenses include rent or mortgage, renter's or homeowner's insurance, clothing budget, and money for meetings, coffee, and out-of-town conferences. If you don't own your car, then car payments would also be included in monthly expenses.
Weekly Groceries and Gas
You should be filling up on your groceries and gas every week and keeping track of your mileage and grocery budget. Household items like toilet paper, dishwashing fluid, motor oil for your car, and light bulbs all fall under your grocery budget. If you like planning your food, also leave money in your budget non-food essentials.
2. Cover All of Your Resources
Home and Land
Your home repair and maintenance, lawn grooming, land development, gardening, farming, etc. are all a part of your home and land resources. Lawnmowers, replacement mower blades, oil for your machinery, and vehicle inspection costs should all be added in here, as well.
Vehicles, Registration, Insurance, New Drivers
Make sure you are budgeting extra for newly driving teenagers and for driver's ed school. Insurance of all types, vehicle registration, and car maintenance are all part of your vehicle resources. If you need extra fluids for your vehicle (oil, power steering, coolant, etc.), you will have to make the appropriate adjustments to your budget
Health Insurance and Medical Savings Plans
When it comes to paying for doctor bills, you would do well to go with both health insurance and medical savings plans. Both of these working together will give you the most amount of health coverage with the least amount of money.
Groceries, Tools, Materials, Replacement Parts
You will always need food to eat and materials and replacement parts for your home and vehicle. Plan on these little expenses throughout the week and month. Keep a running list on your fridge that the whole family can add to.
Enjoyment: Family Outings, Vacations, the Zoo, Amusement Parks
Of course, unless you live by yourself (and even a couple of times a year then, as well), family outings will be really important. You've got to have the right budget for zoos, parks, vacations, and just fun trips to the store with your kids.
3. Budget Out Extra Expenses in Your Paycheck Every Week
Now that you have a clear idea of how monthly, weekly, quarterly and annual expenses look throughout your calendar, divide up the expenses into fourths, and divide those fourths into thirds, to equal your total monthly cost of living.
Total Up All Your Non-Weekly and Non-Monthly Expenses
Anything that is not just a regular weekly and monthly expense should be totaled up and distributed out throughout your budget every month, every week, for the entire year.
If you find that your totaled extra expenses are above your paygrade, don't worry about it. Usually, by cutting only one or two expenses, your budget can equal your income.
Get a Loan if Needed to Cover Gaps in the Short-term
For emergencies and quick pay gaps for unexpected expenses, you can easily and quickly take out a title loan with us. We'll help you get everything organized and you can get the money you need and the payment plan you can handle to keep things flowing freely for the foreseeable future. Call us for more information today.