There is a great opportunity for individuals across the UK to take back control of their financial independence. In recent months you may have developed a number of habits which have cut into your budgeting and dampened your savings. Well, some tools to help make you more successful are our Budget Planners.
How to budget effectively
The free Budget Planner we provide is a vital resource in helping you see exactly how much you have to spend each month. Proper use of this will allow you to cover yourself for all upcoming expenses and to avoid any unexpected surprises. Here are some tips to help you budget more effectively:
- Always apply a cushion of 10% to your estimated expenses.
- Be realistic when setting expenses, don’t lie to yourself.
- Make notes next to any expenses that are more “wants” rather than “needs”.
- When setting your income, round down not ups.
- Review your budget regularly think about using the YEARLY BUDGET PLANNER for those that expenses that are not monthly but annual or termly.
- Write out some goals to help motivate you throughout the year.
- In the future, hang on to all receipts to accurately track actual spending.
To get started you first need to download our Yearly Budget Planner. A link to that can be found right here. Afterwards, spend some time making note of all upcoming expenses for the year, and be sure to include that 10% cushion as mentioned above. Then, make note of all income you and your partner are set to make. If the two numbers don’t match up then it’s time to go back to your expenses and make some cuts to those “wants”.
In the end, subtract your expenses from your income and that is your budget for the month. Throughout the year, keep a close look at how much you are actually spending each month, to ensure you are within budget. This relatively simple process is a fantastic way of motivating you towards achieving your savings goals. By the end of the year, you should hopefully be in a much healthier position financially, ready to plan for the next year ahead. Good luck!