How to organize monthly expenses

Sometimes we spend the money and we do not know what, in such a way that sometimes we hardly get to the end of the month or we have a hard time facing an unforeseen event like an appliance that breaks or a special celebration. Therefore, if we keep a monthly control of our expenses by allocating a budget to various items, we will see how we can count on this money for unforeseen events because we have provisioned it. It is as simple as organizing monthly expenses in an orderly and controlled way and in this article we tell you about it.

one

Even if you are not a lynx in math, simply by managing a simple spreadsheet or Excel you can organize your monthly expenses. We recommend that you do the exercise that we propose step by step. First of all you must open a column in which we will be putting all the fixed expenses that we have.

two

In the column of fixed expenses, you must take into account: electricity, gas, food, internet, telephone, mortgage or rent, transportation, schools or day care centers, community and of course leisure. That is to say, all those expenses whose invoices arrive to us every month without error. Next, you must put the amount that each one of these expenses implies. Let's suppose that the total of all of them will cost you € 1500 every month.

3

Next, you should put another column called annual expenses, which are those that we pay once a year but that involve a very large effort for our pocket. For example, we talk about car insurance, which usually arrives once a year and makes our budget dust, or house taxes, home insurance or the boiler review, are some examples. Let's suppose that the sum of all of them supposes 2, 400 € a year.

4

Now, what we have to do is divide the annual expenses (2, 400 euros) between 12 months and the result is € 200. These € 200 must be added to our € 1, 500 from step 2 because if the provisional throughout the year, when we receive one of these important amounts, we will have the money reserved in the account for it.

5

In addition, I like to leave in the account about € 100 or depending on the ability to save each, leave a fixed amount for possible contingencies, those that make us be in a bad mood and we did not have. For example, the washing machine is broken and you have to change it or you have to register the child at school ... In this way, facing these expenses will always be less horrible.

6

To conclude our organization of monthly expenses, we need to make another column in which we describe the income of the family and add them all. Thus, if the sum of the income is € 3, 000 and our monthly expenses are € 1, 700, then we will have a savings capacity of € 1, 300 in our family, from there we can leave in our account about € 300 for incidentals. And the rest, you can leave it in a different account so as not to touch it and save it, in the face of holidays or a future family savings. If you organize well, you will see how much your money gives.