I have been doing some research on how to set up a budget and I really like this 10 Steps to Starting a Budget article that I found! It outlines steps to take when starting to create a budget and it is very easy to follow! I have learnt that the most important steps to take when creating a budget are to figure out how much income you are bringing in each month and when these pay days are, what important bills need to be payed first and which pay cheque it should go with, how much you need for groceries and lastly, planning out ‘the little things’ budget like toothpaste, shampoo, toilet paper, make-up, hair products etc.
Luckily, I have accumulated a lot of the ‘little’ things, so I do not have to budget for shampoo/conditioner, tooth paste, shower gel, lotion, toilet paper, hair products, ink etc. for quite some time. My only bills or expenses are my:
-school expenses: tuition, books, ink, day planner (these are all already paid for)
-utilities: power, heat, water and internet
-groceries: I just stocked up on some essential items that will last me about two weeks and I spent around $60, so I am going to allow $120 per month on groceries as a start and revisit this after my first month to see if I can reduce this further
-‘for fun’ expenses: I am going to limit one-two of these per month for no more than $50
Jordan Page has some great calendars and goal setting sheets on her blog that I am going to use to stay accountable! I am going to make 1-2 goals per month and track my progress on them. Focus on Financing Goal Sheet