#Monthly living expenses spreadsheet how to#
#Monthly living expenses spreadsheet free#

These may include property tax payments, entertainment, groceries, and so on. Variable expenses, on the other hand, are those that either only pop up every few months, or fluctuate in cost month to month. These expenses remain relatively constant month after month. Your fixed expenses would include things such as your mortgage, car payments, student loans, and so forth. Not including these deductions will cause you to have an inflated idea of what your take-home income is, which will put you in the red.ĭocument Your Expenses, Both Fixed and Variable You’ll also have to deduct factors such as income tax, pension plan contributions, and other things that would be docked from your pay. This number is not just your annual salary divided by 12 months. The first thing you’ll need to get a grasp of is how much money you’re actually bringing in every month. Here are some tips to creating a practical monthly budget to help you keep your finances in check. Having a working budget in place will help you identify exactly where you stand with your finances. Yet creating a budget is a necessary part of adulthood, and is essentially the first step towards financial stability. It’s not fun, glamorous, or even enjoyable.

#Monthly living expenses spreadsheet free#

If you live in Canada’s far north or in a city where homes are very expensive, you may have to cut back more than an average Canadian would in the “Food” or “Housing” categories in order to afford your higher living costs.Click below for the free budget template that matches your lifestyle

Spending more in one category may mean that you’ll have to cut back in another category to make your budget balance. Life is all about choices, but you can’t choose the maximum amount in all spending categories. These guidelines are only recommended ranges. You may also notice that if you spend the maximum amount in every category, you’ll exceed 100% of your income. It’s important to know there is nothing wrong with exceeding this limit as long as your budget balances (your expenses don’t exceed your income). However, if you happen to have young children in daycare, have high education costs, take nice vacations, tithe, or have hobbies or recreational interests that aren’t cheap, you’ll quickly exceed the suggested maximum for this category. The guidelines suggest you spend 5 – 10% of your income in this category. The category in these guidelines that people will most commonly exceed is the “Personal & Discretionary” expense category. Don’t rely on credit for these unexpected expenses. You’re allocating some money towards savings (savings are absolutely necessary for life’s many unexpected expenses.You’re not spending more than you earn, and.If finances aren’t strained in your household, you can choose to be more relaxed and go beyond the guidelines in areas as long as you’re careful to do two things: These guidelines have been created for someone who really needs to put together a tight budget.

#Monthly living expenses spreadsheet how to#

How to View These Budgeting Guidelines to Get a Hold of Your Spending Habits