How do YOU budget?

WantToBeSE

Thanks everyone, really interesting.
I wonder if there'll ever be a time when i dont feel the need to budget? Maybe when i am debt free, have enough in savings etc?

bellaboo86

I write out my outgoings each month in my diary. Much easier than Excel for me as I always have it to hand.

MandM90

Another YNAB (you need a budget) fan here.

It's increased my net worth more than I ever thought possible, whilst giving me the confidence to spend on things I prioritise. I daresay it's saved me even more money than MSE. It's well worth the £3/month subscription.

MandM90

WantToBeSE wrote: »

Thanks everyone, really interesting.
I wonder if there'll ever be a time when i dont feel the need to budget? Maybe when i am debt free, have enough in savings etc?

There are YNABers who own multiple properties, are debt free and save over half their income for retirement, I think the value in intentional spending is high at any net worth.

You may end up spending £500 a month on meals out, or £50,000 on a boat, or £500,000 on a holiday home, but very few people can have everything so budgeting can be useful in deciding what it is you want your money to do for you, even if it's just saving for fun things!

Brambleberry

WantToBeSE wrote: »

Thanks everyone, really interesting.
I wonder if there'll ever be a time when i dont feel the need to budget? Maybe when i am debt free, have enough in savings etc?

Think back to a time when you didn't budget, were you really as confident that you knew where you stood financially? Having an effective, working budget may actually help you feel more free in the future, you know what you can afford, or how long you need to save for something and you are less likely to spend savings you earmarked for something else.

I'm a committed excel girl myself, all pots logged and balanced to the penny. It works for me and I now cannot imagine not doing it, I have been in stupid amounts of consumer debt in the past, but this has helped me focus much more and I only carry debts on my car /mortgage now.

Pepperoni

Another YNAB user here too! :j

Sayschezza

A/c1 all money in. Pays all bills and transfers money to..
A/c2. Food
A/c3. Holidays
A/c4 house and garden
A/5 personal spends

A/c4 also has a cc for big spends always at 0 PC

A/c 5 also has a cc for on line shopping paid up every month

All tracked on spreadsheet updated daily.

Living_proof

I used to need a spreadsheet when the children were at school and Uni, having been a single parent with no CSA input until the eldest was 20. They were scary times.

Now I find myself mortgage and debt free, still working (no pressure) and I can manage on very little each month. I have a lovely lodger who basically covers all my bills with his rent, so when I retire next year my state pension will give me the most disposable income I think I have ever had. But advice to you younger MSEers would be to use whatever you have to hand to keep yourselves totally clued up on what is happening on at least a monthly basis and take control of your future. I feel quite sure I will manage to save a good amount of basic retirement pension when the time comes. Waiting for Armageddon!

moneyistooshorttomention

melanzana wrote: »

I just work out what my monthly bills are, put that amount away to cover all the Direct Debits, and spend the rest with abandon!

I'm early retired, no need to save anymore, the rainy day is here lol.

Oh, and it's pen and paper here too.

The nearest so far to my approach:rotfl:

I use "pen and paper" and work out what income is coming in and know how much I need for bills (most of which are on monthly direct debit). I then mentally allow a reasonable amount of "live on" money for 4 or 5 weeks (depending on whether its a 4 or 5 week month). What's left after that gets spent on The List.

The List is still there in existence - despite being in my 60s:(. It's what I still require to be financially straight (ie house finished, reasonable amount of savings in place and what I require myself).

One day I'll get to the stage where I've taken out bills money and weekly living money and The List is finished and I'm wondering what to do with the rest of my income. Keep on trucking - and thinking positive...:cool:

I guess if I'm still not financially straight at 70 (agh!) then I might just throw up hands in exasperation etc and throw it out and decide the house and my savings will have to stay unfinished - as I'll only have about 15 years left to worry about by then and I'd have visions of only "finishing" come 5 years left "on the clock" for this lifetime.

Oh well....guess that's what comes from taking a "No amount of money is enough to cover throwing principles overboard" attitude throughout life - hence my signature re not being willing to take a bribe to accept fracking LOL.

[Deleted User]

One large A4 book with monthly bills and out goings on one page and income on the facing page.Take one from the other and what's left over gets swished into various accounts.I only use a set amount of cash to budget for food with per month any thing left gets chucked into the holiday fund.

Small note book in my bag with daily/ weekly food spends so I know almost to the penny what I have spent in a week.I keep all receipts for stuff I have bought during the week on a small clip in the kitchen and do my accounts on a Sunday morning and what's left in my food budget purse should match the till receipts I have on the clip,hasn't failed my in over 55 years