How do I make a budget?
List your income and expenses, set limits for each category and review it every month.
A budget is a plan for your money: what comes in, what goes out and what is left. The goal is to make sure your spending matches your priorities.
You only need a notebook, a spreadsheet or a free app to start.
Steps
Add up your monthly take-home income. List your fixed costs (rent, bills, loan payments), then your variable costs (food, transport, fun). Subtract expenses from income.
Set limits
Give each category a realistic amount, and include savings as a category, not an afterthought. Use the last two or three months of statements for accuracy.
Review
Check your budget weekly at first and adjust each month. If you overspend, change the plan instead of giving up.
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