If you currently do not have a budget, you might forget to pay some bills. You might also forget to save some of your income. Using a budget is an excellent way to stay on top of your finances, and one option is to use a financial calendar. A financial planner can help you create one, but here are some tips to help you make your own.
Get a Calendar
A financial calendar is like a standard budget, but it is different in one main way. A financial calendar helps you create a budget for an entire year, allowing you to have a different budget for each month. This calendar enables you to consider every expense you might have throughout the year instead of only considering your typical monthly expenses. To create one, you will need an annual calendar. You can buy a calendar or print one off the Internet.
Fill Out Each Month With Expenses
Once you have the calendar, you can fill out each month with every expense you have. You might want to start with your fixed expenses, including your mortgage payment and car payments. You can write these expenses down in your calendar each month on their due dates. When you write each one down, list the creditor's name and the amount due.
After writing down all your fixed expenses, add in the extra expenses you will have each month. For example, how much money do you want to spend on groceries each month? Is it the same amount monthly, or does this amount vary? You can decide, and you can write the amounts down.
You might also want to consider the expenses you have once or twice a year. For example, when do you have to renew your car registration? By writing this down at the start of the year, you can budget for these extra costs.
Compare the Monthly Expenses to Your Income
Next, you can write in your expected monthly income for each month. You can then compare the income to your expenses, which will help you create a plan for savings. If you factor in your savings from the start, you will likely save more money each month.
Are you interested in finding a way to have more control over your money? This is one option, but there are many others. You can learn more by meeting with a certified financial planner.