Budgeting Question

Squidge123

I've made myself a budget but I struggle to stick to it each month. Something always crops up.

Can anyone offer me any advice on how to budget better and the ways you use so I can see if there is a better way for me to budget?

YORKSHIRELASS

One of the biggest mistakes that people make when they are setting a budget is to make the figures what they would like them to be - rather than what they actually need to be! A budget needs to be realistic or you will never keep to it and eventually you will get so disheartened that you will give up.

The first thing you need is accurate records of what you are already spending so I would advise keeping a spending diary for a couple of months first. Assuming you have got this nailed down you then need to start with your priority outgoings that are fixed like rent/mortgage, council tax, etc then go on to non-essential things like clothing, entertainment, birthdays/christmas etc.

Base your figures on what you are spending already and maybe reduce some of the non-essential things slightly then you can always tweak this in a few months.

You also need to think about how you will save for irregular things like car tax/christmas/holidays etc. I have a separate account where I put some money aside for these things every month.

I have always kept a small amount in my budget for "extras" every month, the kind of unexpected things that crop up sometimes and you cant avoid them.

Have a look on some of the SOAs on here for an idea of how other people set out their monthly outgoings and see if this helps too.

getmore4less

Do at least a year ahead(a budget is a plan)

Set aside something fort he thing you have not counted for.
Set aside something for the things you need to save for in years 2+

each time something comes up that is not on your list add it.

Eventualy you cover everything.

The current things are miising because the plan is incomplete.