Budget - What have i forgotten?

Kalama

I am after some help from more experienced budgeters. For various reasons, this will be the first time in a very long time that I have had to think about a budget and I am unsure what is realistic.

I am shortly going to stop receiving full maternity pay (I'll have three months of statutory and then zilch), and as such I need to start budgeting. I have laid out the monthly/annual expenses below - is there anything I've missed that is glaringly obvious?

I'd also really appreciate some tips on how to start cutting down on groceries. We haven't been living back in the UK for that long (after a long time overseas), so at the moment I am pretty much sticking to Sainsbury's for everything. I have time on my hands, so am happy to consider everything from different supermarkets to farm shops!

Income:
DH wage £2260
Child Benefit £80 (this will go into a savings account)

Monthly Expenses:
Electric 104
Gas 0
Water 40
Phone 15.4
Internet 24
Mobiles 25
Home (contents and building) insurance 28
Council Tax 138
Groceries/Nappies etc 400
Car insurance and breakdown cover 27
Petrol 50
Alarm 22.50
Contacts 21
Car tax 2.50
Car service 17
Total Monthly Cost 934.65

I honestly have no idea how much to budget for spending on top of this - clothes, meals out, toys etc etc. We ideally want to save a good chunk every month - some for us and some for a university fund. Due to the slightly unplanned arrival of DC1 in May (we found out I was expecting shortly after we moved back to the UK), we haven't had the opportunity to do much in the way of trips/holidays/nights out so I don't have much of an idea how this might affect a budget.

msallen

Mortgage/Rent is the obvious one!

Kalama

Sorry, I should have included that. No mortgage/rent to pay.

gfplux

You should have an emergency fund.
TV licence.
Holiday fund.

Kalama

Ooh - emergency and holiday funds. Brill idea!

We do have savings to fall back on in an emergency, but ideally I want to ringfence those and do everything out of the monthly income. I'll work room for emergency and holidays into what we put aside.

We don't gave TV hooked up so don't need a TV licence. We are good and follow the rules on what you can do without one. Subscription TV is included in our monthly internet cost.

littlemissbossy

Maybe pension contributions, life insurance, medical insurance?

Kalama

Both DH and I are on final salary pensions - we just haven't decided if I am going back to work. I suppose I should look at options going forward if I don't return but want to build up more pension.

Has completely forgotten about life insurance. Will get some quotes and add it onto the monthly expenses.

Kalama

Is medical insurance a necessity?

chrisfreelander54

Firstly do your shopping at ALDI and LIDL as there food is way less expensive compared to other supermarkets and the quality is food is just as good, if not better.

Things i see that are missing are missing from your budget are:

Mortgage or rent
MOT
TV Licence
Life insurance
Emergency fund
Holiday fund
Birthdays
Christmas

HTH
Chris

hostertlady

I would start with the saving before you spend.
you say you want to save a considerable sum.... so how about setting up a standing order for £400-£500 per month...
and then whatever is left over you get to spend!:)