Create a Budget Plan
Most people aren’t aware of just how much money they
spend each day. Most of us know what our biggest monthly
expenses are, such as rent or mortgage payments, car
payments or utility bills, but we easily lose track
of money we spend on extras like restaurant food, dry
cleaning or video rentals.
Let’s say that you have a pretty regular daily routine.
You may stop at the convenience store on the way to
work, pick up some chewing gum, a doughnut, a cup of
coffee and a newspaper for a total of about $4, spend
$7 on lunch, and stop to rent a movie for about $4 on
the way home. That means you spend about $15 every day.
Now, multiply that $15 x 5 (five work days in the week)
and you suddenly are out $75. Multiply that $75 x 52
(number of weeks in the year) and divide by 12 (months.)
You’ll discover you spend $325 a month on items you
probably didn’t really need or could have brought from
home. Yikes!
Creating a budget will help you track your money so
that you know how much money you have coming in each
month and where and how you spend it. Take a critical
look at how you spend your money, set priorities and
then take charge of your finances.
- How to create a budget plan
|
