Tracking Expediture - Advice Please

Bublin1

I get paid on the 20th
Get tax credits around 16th
and Child Benefit around 4th

Most of my bills come out of my account around the 20th but some come out around 14th.

I decided to start an expediture/Budget sheet on the 1st May (simply because that is when i decided to start sorting out my finances) then realised money is coming in and out all over the place.

Do I start my 'month' from the 20th when I get the bulk of my money or do I track from the 1st of the month?

Mort

It does not really make much difference but if you think like me you would find it easier to work from the 20th as this will get you thinking about what you have left for the rest of the month.

gizmo111

I would have thought start on either payday or tax credit day. I do my budget in 2 halfs as I have the majority of income on last day of month and then another big lump around 12th of month, most stuff comes out on between 1st and 5th, then the next lot on 21st.
I work it out in 2 halfs making sure I have enough in bank on 15th to cover rest of month bills.

ky822000

I was REALLY confused about when my child benefit went in, as it changes every month (due to it being paid four weekly, not monthly).

I have made a spreadsheet showing every day of the month (for the entire year lol) and plotted when money goes in, and have set up expenditure columns so I can see the impact of taking out different amounts of money each week, iyswim.

The bonus of this, and something I did not know before I did this, is I realised that CB is paid twice in July!!!

mum2one

be sae if you get tax credits 4 weekly, nice bonus once a yr.

Def go by full year, as you can manage money better when you have unexpected expenses, I used a diary, and works pretty well.

Good luck with it all xx

Bublin1

Ah thank you so much for all your replies. I was getting myself in a tizz, wondering what to do. I realised that (apart from my overspending) that I am getting overdrawn mid month due to different payment dates.

I think i'll continue my spreadsheets from the 20th and will just have to check my online statement every few days to see what dates deposits and bills are paid to stop being overdrawn every month.

I like the idea of having a spreadsheet for every day of the month.

CB twice in July huh? Great!

You've all been helpful. Thanks again.

Bublin1

Whoop. I'm so bad at math/spreadsheets...but.....I've worked out how much overdrawn I have been, even though I am now in credit. This tells me how much I REALLY have left to spend until pay day (6 days time).

Due to my 'new' frugal lifestyle (well just spending sensibly), which I started on 1st May, I will actually start my month with ALL my wages.

Since the 1st May was only 12 days ago it is quite shocking how much I used to spend on stuff I didn't need.

mum2one

thats the troubke when it comes in bits an dabs, and 4 weekly, throws everything out, so its almost twice the work that if it came in on 1st or 30th month,

But sounds like your going great guns, xx

Bublin1

mum2one wrote: »

thats the troubke when it comes in bits an dabs, and 4 weekly, throws everything out, so its almost twice the work that if it came in on 1st or 30th month,

But sounds like your going great guns, xx

Thanks mum2one.

Yes, I've now realised that this going to be more work than I initially thought but my goodness, it's worth it.

I thought I had £270 left to spend until pay day (which technically I do because that is my bank balance) but because I have been overdrawn during the month I actually only have £55 . This is fine as I have no plans to spend on anything much during the next few days.