If times are tough, or you would simply like to stay in better control of your monthly income and expenditure, a budget planner could be the answer.
How exactly do you compile a budget planner - and what should it include? Here at Legal Advice Helpline, we have developed an easy to use Budget Planning tool that will help you create an accurate calculation of your monthly expenditure set against your income which will show you if you spend more than you earn. If you need to write a Statement of Means to send to your creditors, we have created a separate tool for this which will enable you to download and print your document from your desktop. Whether you are a Mac or Windows user, you will find these tools very easy to use.
Making your own budget planner
Using our Budget Planning tool, the first step to creating your own budget planner is to calculate the monthly earnings for your household. This includes your earnings (after tax) and any income you may earn from investments, such as rented flats or interest on savings. If you live with a spouse or partner, be sure to include their earnings after tax in your budget planner too.
Next, you can input your essential monthly outgoings in your budget planner. This usually includes your mortgage or rent payments, council tax, utility and food bills, travel expenditure, insurance premiums and loan or credit card repayments, but will vary from case to case.
It is also crucial that your budget planner includes how much you spend on luxury items each month. This often involves the costs of socialising, home entertainment, gym or other sports club membership, mobile phones and any other non-essential pursuits. It is important to be realistic when you estimate these costs if your budget planner is to work effectively.
The final stage of your budget planner
The final stage of your budget planner involves balancing your income with your expenditure. If you spend more than you earn, look closely at your expenditure - especially for luxury items - to see what you can cut back on. If your income exceeds your expenditure, it might be time to start saving more or increasing the amount you repay towards any debts.
For more information on creating a budget planner or how to get professional debt advice, contact Legal Advice Helpline free on 0800 612 3042 today.