If you need to reset your budget, you’re in the right place.
I’ve put together a Free budget printables pack containing: 1. Expenses List Sheet and 2. Monthly Budget Planner.
To get your free copy, and access to the free printables section, simply subscribe to the mailing list, here.
In this post, I’ll show you how the create a monthly budget.
Disclosure: Based on personal opinion, not to be taken as advice. Seek a professional if required.
Free Printable Budget Planner
Before we start, get your free budget planner, or grab a pen and paper. You’ll also need access to your receipts/banking records.
Free Printable Budget Planner – Expenses
If you’ve printed my printable PDF, you would have found 2 sheets. We’ll be starting with the Total Expenses sheet.
To begin, systematically record everything that you’ve spent over the last month.
If you wanted, you could use this sheet to record your expenses going forward, as they occur over the next month. Then, once you’ve accounted for every penny, come back and proceed to the next step.
Try to list every single penny/cent that left your wallet in the last month. Also add all debt payments and monthly percentages of your annual bills.
WANT and NEED
You can see that I’ve created a tick box option to the right of each item on the Total Expenses sheet.
Looking at your original list of expenses, decide which items you WANT, and those you NEED.
As a point of reference, my WANT list would include items like:
Fashion (Clothes or anything that I purchased for ‘fashion’)
Mobile (This represents any monthly re-occurring cost that I may not NEED)
Meals Out, etc.
My NEED list would consist of items that I (or family) NEED to pay to survive, like:
Household Bills (Electricity/Gas/Water/Tax etc.)
Insurance (I choose to include insurance as a NEED)
Also, any cost that I have to pay – like a debt, if I had any.
By the end of this exercise you should have a clear understanding of what your minimum monthly expenses are (your NEED list). You can read more on how to work out your minimum monthly expenses in my post, The Most Important Number For Financial Freedom.
Now that you can see what you’re spending, it maybe a good time to check if you’re paying too much for any services. Maybe even try your hand at haggling to get a reduction on your electricity costs, or mobile contract.
Once complete, go through your WANT list and narrow down what you really want to keep, and what you can honestly cut.
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Monthly Budget Planner Printable
With the information you’ve gathered, you can begin to fill in the Monthly Budget planner (or create a budget on paper).
First add the MONTH, and your month’s INCOME into the fields provided.
Now, complete each section. I have left a free space at the bottom of each, so that you can add anything you personally require.
Enter the amount that you’ve budgeted for in the first box (BUDGET). Then add the amount you actually spend in the second box (ACTUAL).
Once you’re done, work out what your totals are.
Calculate the final total from your ACTUAL spend amounts, and subtract this from your INCOME. This will give you the figure for the SAVED line, to help you keep track of your savings.
You have 2 options for your annual expenses:
1. You could divide it over 12 months and add it to the monthly list. That means you have to make sure you put aside the money each month to meet the bill when the time comes around.
2. You could treat it as one single payment, just adding the total amount to the month it’s due.
Sticking To Your New Budget
Now you have your budget, the goal is to stick to it and free up the extra money for another purpose.
If you do have a few unexpected expenses, just add them to the Budget Planner. That way, when you review it at the end of the month, you’ll have all the data in one place.
If the payments change from what you were expecting, you can also record that in my Budget Planner – in the ACTUAL box.
I tend to create a new budget whenever I feel like my expenses are getting out of control. I find that having a list that shows where I should be spending, makes a great difference in my attitude when the opportunity to spend comes along.
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Example of the Free Budget Planner Printable Sheets when printed:
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