budgeting - how?

[cherrygal]

Why is it necessary to have a monthly budget?


I thought it's ok if our bank balances keep increasing after expenses which means we have savings? No?

Our expenses are very similar each month and we don't splurge. We maintain separate accounts and both keep increasing each month (at least while I was working). I put most of my expenses on credit cards to get points and monitor what I buy, and pay off the bills promptly. Our savings are quite substantial.

So is there still a need to do a monthly budget? :?

[24hr-mum]

I dont do budgeting, cos i m not disciplined. but i thot if i can get down to do it, will be gd as it will help me decide whr to commit a certain purchase eg enrichment course, big ticket items etc.

[LOLMum]

i would love to use the spreadsheet but too lazy.


take a fixed sum from joint account monthly. after deducting all the fixed amount payment , the remaining will go into food for family, extra pocket $ for kids, misc items for kids and myself.

i will make sure that my expenses does not exceed this fixed sum and if i spend more on food this week, i will spend lesser the following week or cut down on misc items. any remaining sum at the end of the month will automatically go into my own private account . well, sahm needs to have some savings.

so far so good. fixed sum has been the same for the past 3 years and credit card spending has gone south (maybe i am getting old, just dont see the need to buy too many clothes etc).

cheers

[daddy2007]

I do my annual budgeting into the following category when I got my annual salary adjustment



Monthly Alloication

1. INCOME\t
Nett Salary
TOTAL INCOME\t
\t
\t
2. EXPENDITURE\t
Personal Expenses\t
Food - Basic\t
Food - Luxury (> $15)
Hobbies & Sport\t
Personal & Spouse Expenses\t
\t
Household Expenses\t
S&CC\t
Utilities
Grocery/Household Items/Toiletries
Telecommunication (Mobile & ISP)
Transportation\t
\t
Fixed Expenses\t
Insurance\t
Allowance for Wife\t
Allowance for Mother\t
Maid\t
Saving - Child Education\t
Saving - Saving
Saving - Investment
\t
Miscellaneous\t
Luxury/Lifestyle\t
Newspaper Subscription\t
Child Expenses\t
Child Enrichment\t
\t
TOTAL LIVING EXPENSES\t

I will try to ensure that my Total Income is equal to Total Living Expenses

As for my bonuses, I keep at least 90%. The rest will allocate for my income tax and other taxes and sometime to pay for big ticket items



I will record my expenses daily and will do a total each month. This monthly figures (in the various categories above) will allow me to plot the spending trend for each year and I will adjust my next year budget accordingly again

[daddy2007]

MMM:

That is my profession so maybe that's why it's easy for me to do it.

You are an accountant?

[daddy2007]

cherrygal:

I put most of my expenses on credit cards to get points and monitor what I buy, and pay off the bills promptly. Our savings are quite substantial.

I also like to pay most of the expenses/bills via credit or debit cards as the cash rebate is quite substantial. I can earn $100 - $200 cash rebate each month

But got to be very discipline. Don't splurge on those luxury items but only budgeted expenses.

[daddy2007]

LOLMum:

any remaining sum at the end of the month will automatically go into my own private account . well, sahm needs to have some savings.

This is especially true. SAHM needs to have some extra money so that one can buy something at certain times to pamper oneself without going to the hubby for money

I paid for all expenses (household & also everything incurred by spouse) but still give my spouse an allowance. At least she can use this extra money to give to her parents and to buy those small small things to pamper herself

[LOLMum]

daddy2007:

LOLMum:

any remaining sum at the end of the month will automatically go into my own private account . well, sahm needs to have some savings.

This is especially true. SAHM needs to have some extra money so that one can buy something at certain times to pamper oneself without going to the hubby for money

I paid for all expenses (household & also everything incurred by spouse) but still give my spouse an allowance. At least she can use this extra money to give to her parents and to buy those small small things to pamper herself

just got the news that my brother needs to have an operation, a shock to all at home, am using this private savings to buy tonic and maybe with the fees etc.

thus no need to deduct from monthly fixed sum or ask dh for extra $$$.

[24hr-mum]

hi daddy2007


i m surprised to find u so disciplined in budgeting. a rare virtue in men.
my hubby doesnt gv me allowance. he basically leaves all domestic matters to me. so thereotically speaking all his $ is mine :（
but seriously i nvr spend unnecessarily cos i m the one who always worry abt no $, being a sahm

[Imp75]

Sorry to gatecrash the thread but I have a relevant question. Is it necessary to contribute to the joint household spending acc based on percentage of income or is it ok to split the contribution equally. My hubby who earns less than me has been urging for the % method but I dont see why the equal contribution doesn’t work. He’s not living from paycheck to paycheck so therefore whichever method is not causing him any hardship. It merely means less savings than me but which is fair cos he earns less.