How to Get Started

Successful budgeting requires that you take the time to examine your finances and determine your income and outgoings.

We all have times when our money runs out before the month does. It does not matter how much you earn; it is to the benefit of each of us to create a worakble budget. A budget that is workable is one that you can stick to.

Therefore, it is very important to be realistic both when assessing your income and expenditure and also when setting your financial goals.

In these difficult times, working out a budget is even more important to help you make ends meet, cope with any emergencies and plan for the future.

Here are some tips to help you along the way.

Before planning your budget, it is important to see what it is that you are spending your money on. You can start a budget by simply writing down what you spend on a daily basis.

Ideally you should do this over the period of a month. Remember, your budget is your personal tool and you can choose how much detail you want to include.

To help you in this excercise we have included a simple spending diary that you can fill in or print out.

When starting out, you may find it helpful to put your spending into catagories, such as household, rather than keeping tabs onto individual expenses such as cat food, shampoo etc.

Some people might find it helpful to work with two groups of expenses:

• Essentials- bills you must pay to keep your household and family running, such as utilities (Gas, Electricity), Housing, Groceries, etc.
• Non-Essentials- entertainment, holidays, gifts, etc.

There are no rigid rules to creating a budget, the important thing is make it flexible and realistic. Remember Rome wasn’t built in a day, you are free to amend it as you go along to suit your circumstances. Best of luck.