Budgeting can be hard, you have to anticipate what your needs are, you need to track your spending, and you need to do it all without obsessing over it and making yourself extremely anxious (if possible). So I decided to share how I make my budget every month, you know since I’ve officially been an adult for 6 months now.
Consider what’s upcoming when budgeting each month
I try to anticipate what I need every month, so I allocate more budget for random purchases from October through December for Christmas gifts, or in September I budgeted more clothing budget because I needed some clothes for homecoming. This will save you a lot of headaches every month when you didn’t prepare for something you knew was coming up.
Include your savings in your plan
The best advice I’ve been given is to “save first” when you are paid. This is why I save consistently every month to both my general savings and my travel fund. This ensures that you are growing your savings and not spending too much to save effectively.
Be flexible with where it goes, don’t obsess
I definitely have a personality and demeanor where I tend to harp on everything I do, especially when it comes to money. This is why you have to stay flexible, even if you go over on groceries or clothes one month doesn’t mean you’ll go broke. I promise.
Over allocate when possible
Don’t be too frugal, live a little where you can. If you can spend more on eating out, clothes or Uber then do that. You’ll either come in under budget or you’ll have a little more cash to replace those old jeans you’re holding onto.
Have an incidentals budget
Please, I beg of you prepare for random expenses. For example, my vacuum broke recently and I need to buy a new one. If I didn’t plan for random things like that to happen I would be a lot more stressed about how that would impact my budget, or picking up some medicine when I have a cold, or something else.
Have a digital and physical budget/spending tracker
I recommend having both a digital and physical copy of your spending/budget. This is because I think digital trackers are smart and will do the math for you but tracking your budget physically helps you feel the impact of how much you are actually spending. I use EveryDollar which comes in a web browser form and an app!
How do you manage your money? Let me know in the comments!