Already it’s October and I find myself pondering where on earth has this year gone? Seriously I have blinked and it’s almost Christmas.
October for sure is going to end in a fantastic way, so fantastic that I want it to be over before it’s even begun. No one could blame me considering what’s coming:
- Holidays – Yee-haw I’m heading over to the USA and Canada! So excited I have to force myself not to think about it but……..Are we there yet?
- Joblessness – I quit my job(eek) and my last day is just before I fly off on holiday. Hell yes I am looking forward to this because I am done with my negative attitude about my job. Still I’d be lying if I said it wasn’t with some trepidation for the unknown. The curse of being a natural born worrier.
- Blog – I have my blog and I ♥ it! Seriously like loving every minute when I’m not breaking it. Though I officially launched last month I’ve found my passion for writing again.
With that said it’s the first of the month and I love getting organised from day one. A new month, new goals and a BUDGET! I’ve even inserted a professional photo from Pixabay to gussie it up (see above)
Let’s talk on how I budget?
Currently I budget per pay cycle which is fortnightly. Soon to be jobless my strategy will change temporarily by the start of next month for obvious reasons to be subsequently discussed next month. Through years of trial and error however I’ve reached my zen of budgeting keeping it simple but effective. Remember what works for me may not work for you so don’t be rushing into or changing anything based on what I write here.
I have two spending accounts and two savings accounts with two different banks, neither of which incur any fees. One account receives a set amount that pays my rent and automatic slush fund savings, the other is for all other expenses and long term savings.
My first pay of the month is dedicated to monthly expenses as well as what I’ll need for the fortnight. The second pay is exactly the same excepting monthly expenses. Here it is in all it’s glory.
- Groceries (Food & household) $100
- Gas for car $40
- Spending money $40
- Mobile phone $100.50*(Monthly)
- Hair cut $33 (Monthly)
- Car Insurance $23.60 (Monthly)
*Mobile phone is usually $50.50 I upgraded and am paying two months worth, it will revert to normal next month.
Points to note:
- Rent is paid from my other spend account at $440 per fortnight (includes power, gas, water).
- Pill prescriptions are quarterly (not due this month). It is inserted into the budget on that pay cycle only.
- There is not budget for clothes/shoes due to a strict no buying ban.
- Overspending is avoided by setting that exact amount budgeted in my spend account and transferring the rest to savings. When it’s gone most of the time it’s gone. Unless the human factor comes into play whereby one loses their mind and feels a shopping spree is in order.
- All other money goes immediately to various savings accounts.
But what happened to the special pie graphs or spreadsheets? No bells or whistles?
I’m a simple woman with simple tastes, leaving there to be little need for prettying up my budget. I used to do the whole tracking thing and spend hours drawing up budgets, now by keeping it simple there’s no need. I have a good strike rate and plan on keeping it that way.