Here are Free Monthly Budget Templates to help you prepare your monthly budget comprehensively. If you like it and want to explore more options check out our collection of Weekly Budget Templates and Personal Budget Templates.
For most of us, money is always a huge problem and although we try our best to take control of this problem, most of the time, it’s out of our control. You may work very hard and try your best to provide for your family but you don’t have enough money to save along with your household expenses. Keep in mind that when it comes to the people who earn from regular jobs, they need to save a small portion of their monthly income in a separate account so that they can use it when there is a sudden or unusual expense i.e. vehicle repair or house maintenance. To do this, you need to make your monthly budget planning so that you can allocate parts of your salary to different items of household expenses.
Importance of Preparing a Monthly Budget:
When you don’t keep eye on your income and expenses, it is possible that you end up with a huge debt in your name and no savings in your bank accounts. This is where the monthly budget planning comes in handy. With this planning, you can easily see how much you earn each month and your monthly expenses. This way if you see that you can’t save a portion of your monthly income in a savings account, you can easily cut back on some luxuries or household expenses that are not as important as others i.e. food and utility bills.
Tips for Preparing a Monthly Budget:
- Calculate what you Earn per Month:
When you want to prepare a monthly budget, the first thing to do is to calculate how much you earn per month. This includes your regular salary and the income from your side business if there is any. This means you need to include the outside income in your regular monthly salary to see how much you earn.
- Eliminate nonrecurring Income Sources:
When you calculate your monthly income, you should not include the one-time source of income. In simple words, when you know that you got some extra money this month but it’s highly unlikely to happen next month, you don’t need to add this kind of income to your monthly income. This includes bonuses that you get for good performance at work.
- Estimate your Monthly Expenses:
After that, list all the items you need for your family and house monthly. This includes food, clothes, shoes, transportation expenses, utility bills, house rent or mortgage, house insurance, and grocery shopping. After making the list, you can put a rough estimate of how much each item will cost.
- Find ways to cut back on Expenses:
If you evaluate that you are spending more than what you earn or more than what you should spend, you can easily cut back on the expenses that you don’t need as much as other items. For example, if you want to save money, you don’t need to spend a good amount of money on eating in restaurants and fast food places but you can stay at home and eat house-made meals.
Free Monthly Budget Templates
Download all these Free Monthly Budget Templates that can easily help you to prepare your Monthly Budget effectively.