Everyone’s finance is a little different. What works for me may not work for you. The list below is what I have been using for past 5 years.
I use the budget app You Need a Budget(YNAB) for budgeting. I am a fan of zero-sum budgeting in which every dollar is assigned to something. If I don’t use all budgeted amount then it gets rolled over to the next month. This rolling method works great for building a sinking fund.
|Housing||Mortgage – Payment||$1,323.29|
|Total – Housing||$1,609.29|
|Food/Supplies||Groceries & Supplies||$275.00|
|Total – Food/Supplies||$400.00|
|Medical & Grooming||HairCut||$25.00|
|Total – Medical & Grooming||$175.00|
|Total – Transportation||$523.75|
|Books & Training||$50.00|
|Total – Other Expenses||$600.00|
|TOTAL – BUDGET||$3947.04|
The numbers go up or down depending on the months. For example items like Auto Insurance and Registration are only paid once every year. Home Repair item is a bucket to keep the money for major home repairs.
Spend Money is my favorite. This is the amount I can spend on whatever I want guilt-free.
Percentage by Category –
|Medical & Grooming||$175.00||5.00%|