Best way of budgeting?

cbassno3

Hi everyone,
Im looking for some advice and tips on budgeting. I currently have all my dd and salary paid into my current account and i use it through out the month for all card transactions and cash withdrawals. Is there a better way of doing what im doing im looking to become more better with money and budgeting and to make my money last longer! I look forward to your advice and opinions. Many thanks in advance!:j

opinions4u

I always paid my salary in to my direct debit account, and then sent a standing order across to another account a day or so after pay day, ensuring I'd left enough behind to cover the bills and more. That was my spending money.

Every few months I'd then sweep the surplus that built up in to first account in to a savings account.

Budgeting is a case of doing what works for you. I'd suggest you decide how much you want to save before you spend, rather than the other way round.

looktothefuture

I do the same as opinions4u does but I get paid weekly and my DD's/SO are spread equally over the month 2DDs and 1SO per week, I then work out how much to leave in my cash card (where my wages go into and my DD's/SO's are paid out of - and I lost the card for it about 4 years ago) after everything essential is accounted for ie groceries/travel/petrol I then make a transfer from that account into my 2 debit card accounts - Household account for groceries/travel and Petrol into one and anything in the 2nd Debit Card account is my spending money.

flossy_splodge

I have abook which I update whenever a bill is paid.
I have separate pages for eg Gas, telephone, leccy, rates etc etc.
Then aftera calendar years worth of bills I draw a line and total costs of that item for the year.
This means I can keep tabs on those sneaky increases we tend not to notice like mobile phone bills rising bit on bit.:D

getmore4less

A budget is plan in advance of where you want to spend your money

the plan identifies all income and allocates it to catagories including long erm savings.

The more you plan the more accurate you can make reality match the plan.

The minimum plan should be detailed for 1 year, best if done on a rolling basis to keep it upto date.(regularly to start with then drop back to 2-4 ties a year)

You also want outline budgets that include about 5 years of projected spends, these will look very much like the first year but include less regular spends like replace car,white goods,special holiday etc that are being saved up for.

The savings requirements in the plan should be done backards from the long term goals, think mortgage free and early retirement.

Some start with this(pay yourself first budgeting) and just spend whats left.

The trick is to monitor spends to budget and adjust it when is goes off track(either the spends or the plan to fit reality).

A good busget will have very little need for emergency(unexpected spends) funds, but will need a disaster fund(loss of income).




How you manage your cash flow with various accounts is part two based on the plan.

flossy_splodge

getmore4less wrote: »

A budget is plan in advance of where you want to spend your money

the plan identifies all income and allocates it to catagories including long erm savings.

So to know this you need to know where you spend it now:rotfl:
The minimum plan should be detailed for 1 year, best if done on a rolling basis to keep it upto date.(regularly to start with then drop back to 2-4 ties a year)Sort of what I was saying?/:T
.

Aint language fun.:D