Spending plan
Create a plan to identify your earnings and
spending. By doing so, you help identify necessary expenses and
the amount of money you have to spend on the things you enjoy in life.
If you don’t seem to have much of that “extra” money
for what you want, creating a spending plan can help you determine what
expenses (“needs”) you can cut.
Use the calculator below to identify how you spend your money.
- When determining your income, don’t include
overtime pay or bonuses.
- When determining your expenses, review your
checking account records, credit card statements, and receipts.
- Some expenses, like food, clothing, and entertainment, change from
month-to-month (“flexible”), but you can estimate
these.
- Don’t forget about bills you pay on a quarterly, semi-annual,
or annual basis, like taxes and insurance.
- Be sure to include your student
loan payment. If your loan isn’t in repayment yet, it’s
wise to include that amount now so you can see your financial picture in
the near future.
Make it a point to review your spending plan
regularly, perhaps after filing your taxes each year. If it
doesn’t meet your needs or help you achieve your financial goals,
adjust it or create a new plan.
