Showing posts with label monthly budget. Show all posts
Showing posts with label monthly budget. Show all posts

Saturday, April 16, 2022

Figuring Out a Monthly Budget? Car Expenses to Account For

Manage your money well, and you’ll wonder how you ever lived without a budget. Your spending will dictate how much money you have leftover for emergencies, savings, and discretionary fun.

A monthly budget is a great way to help you stay on track and focused on your financial goals. It’s an essential tool for anyone who wants to keep tabs on their money and make smart financial decisions. 

Following a budget will help you stay on track and help you feel accountable for your spending. It’ll also help you avoid making money-eating mistakes and set realistic spending limits. 

This article will go into depth about car expenses to make sure you include them in your monthly budget.

Petrol and Diesel

The average person will spend $2,783 on petrol and diesel each year. This equates to $8.67 per gallon of petrol and $4.39 per liter of diesel. 

However, this doesn’t consider taxes, fees, or additional costs associated with operating a car. If you’re a higher-end driver, you may spend even more. To put this in context, the average car in the U.S. costs $30,000. 

That means, on average, you’re spending about $4,000 more per year on petrol and diesel compared to the price in your own country.

Insurance and Registration

The average person will spend $1,919 on car insurance every month. This equates to $8.62 per gallon of petrol and $3.25 per liter of diesel. What’s more, this exceeds the price of car maintenance by far. 

You could easily pay $1,000 or more for the privilege of driving your car. If you need to take someone to court, their car insurance will likely cost you more than your monthly budget.

Brake, Tire, and Servicing Expenses

These are the majority of the costs associated with maintaining a car. Break these down, and you’ve still got yourself a healthy monthly budget

For example: brakes cost $84, tires require $96, tire recommended $40, servicing fees $36, tire replacements $36, brake maintenance $318, etc.

Now that you’ve got a better understanding of how your monthly budget works, it’s time to take action. Make a plan and stick to it. Make small adjustments each month, and you’ll see results. 

There are many ways to go about this. You could look at your monthly expenses as a percentage of your income or look at them as a dollar amount. Whatever way you look at it, you can still make it work.

Wednesday, February 14, 2018

4 Ways Moms and Dads Can Save Money on Their Monthly Budget

Budgeting isn’t always simple. It can be especially hard for mothers and fathers who are trying to raise families. Costs for kids can add up rapidly. Parents have to take all sorts of factors into consideration. 

These include meals, recreational activities, entertainment, and school supplies. If you’re a budget-conscious parent who wants to save money each month, take note of these budgeting tips.

Purchase Aftermarket Car Parts

Parents have to take their kids from point A to point B. You may drive your youngster to soccer practice several times a week. You may drive all of your kids to and from school each morning and afternoon. 

That’s the reason car issues are practically inevitable. Parents should always set aside money in their monthly budgets for problems. If your car needs repair service, you can save money by purchasing used car parts instead of OEM (Original Equipment Manufacturer) parts. These replacement parts are usually just as durable as the originals.

Focus on History

History doesn’t always have to repeat itself. If you feel regret any time you think about your recent money use, give your latest bank statement attention. This can give you insight into where all your hard-earned money went. 

It can also help you steer clear of making the same frustrating errors. You may realize that you went to restaurants too often. You may realize that you had too many weekend shopping excursions. History can teach parents invaluable finance lessons.

Become a Warehouse Club Member

Feeding a growing family can cost a pretty penny. That’s why wise parents should always search for ways to minimize their monthly grocery shopping costs. If you want to save big on meals, snacks and more, then you should think about signing up for a warehouse club membership. 

These require initial membership fees, but they generally end up paying for themselves quickly. Bulk purchases can help moms and dogs save mega money.

Steer Clear of Excess

Parents who want to save money should try to steer clear of excess. Do you have an online video streaming subscription you never use? Cancel it. Cutting down here and there can help you reduce your monthly costs dramatically.

Healthy families are all about clear communication. If you want to save money as a family, make sure everyone is in on the plan. Try to make saving money a fun bonding experience for everyone.

Monday, October 17, 2016

How to Save Money and Live Better with a Monthly Budget

In today’s society, many people are really short on cash. It seems like you are living paycheck to paycheck, and there is no money to save. 

In this case, you need to be a savvy spender in order to have some cash. Therefore, here are some tips to save money and live better on a monthly budget.

Use Coupons

The cost of shopping for groceries can really add up. You would be surprised at how much money you can make by using coupons. You can always find coupons in your local paper, or you can get coupons on certain websites. 

There are also certain apps designed specifically for coupons. Most coupons last for six months, so cut out any ones you think you will use. Do not use a coupon just because you have it. Only buy what you need.

Bundle Insurance

If you bundle home insurance, car insurance, life insurance, and health insurance with the same company, you can save money. 

Companies are very competitive, so they want your business, so they will give you incentives. Use one company for all of your insurance needs. You could save thousands each year.

Buy Used Car Parts

Some people do not think of this, but many used car parts are completely safe to buy. Some companies, like U Pull & Pay, know that new car parts are very expensive, so buying them used can save you money. Some of the popular used car parts in include mirrors, spare tires, windows, rims, etc.

Eat at Home

People do not realize how much money they spend by eating out. Get a cookbook, and find some quick, cheap, and delicious recipes that you can cook. It also could be a great family bonding time.

Save on Utilities

Unplug your electronics when you are not using them. Use a programmable thermostat. You can also seal off your windows during the winter months. These are just a few ways to save on your utility bills, so you will have more money.

Low Cost Activities

Go to the park or to the beach. These are completely free. Check the paper for events in your area that are little or no cost. Watch a movie on Netflix.

You can always find great ways to save money while you are on a budget. It is not hard to overspend each month, so if you will just start getting smart with your spending habits, you will save money each month. Then you can watch the savings pile up.

Wednesday, April 27, 2016

How to Create a Monthly Budget that Works for You

Making a budget is an important way to save money. A budget also helps you live within your means. It helps you become more aware of your expenses, and finally a budget can help you reach your financial goals faster. 

Budgeting certainly doesn’t sound like much fun, but I promise it isn’t that bad. If you follow some simple steps you’ll get the hang of budgeting, and once you get started you may even begin to see it like a game.

Step 1: Know what you have, what you earn, and what you owe.

You can’t create or stick to a budget if you’re ignorant about your finances. It’s time to start digging through your paperwork: your bank statements, credit card bills, any loan documents or other kinds of debt you have, and your income statements. 

Find out exactly how much you have in savings, checking, and investment accounts. Know how much you earn, which is more than just your paycheck. Your benefits are worth money.

Step 2: Make financial goals.

You can make a budget without having any goals, but it won’t be much use. Now that you know exactly what you have and what you owe, come up with some goals for your future. 

Do you want to pay down debt from cash loans, online loans, auto title loans, or student loans? Do you want to improve a bad credit score? Do you want to save for something in particular? Know what your goals are so you can target your budget to meet them.

Step 3: Track your expenses for at least a week.

Next you need to know how much you’re currently spending. This will give you an idea of what you’re accustomed to spending and where you are spending too much. 

Take at least one week, more if you can, to record and track every penny you spend. Be specific and record exactly what you buy and why. Do everything like you normally do so that you get an honest picture of your money habits.

Step 4: Categorize your spending and look for places to cut back.

Take a good, hard look at your spending habits and sort and categorize them. Separate out your spending into essentials and non-essentials in particular. 

Look for areas in which you can cut back and make your cut-backs appropriate to your saving goals. The bigger your goals are, the more you will have to cut back. This is the time to really consider how frugal you want to be, or can stand to be. 

You want to save more, undoubtedly, but you have to decide how much you’re willing to sacrifice to meet your goals. Will it really be possible to cut out your afternoon coffee? Or will that make you miserable? Make cuts that make sense, but also match your lifestyle.

Step 5: Pick a budget strategy.

When it comes to the hard work of deciding just how much you’ll spend in each category, you may find you’ve hit a roadblock. 

This is where it helps to use strategies that have been created and road-tested by experts. 

For instance, the 50/30/20 budget is a good basic guideline to follow: 50% of your expenses go to essentials like rent, utilities, and food; 30% goes to unnecessary expenses, like your afternoon coffee, your phone bill, or eating out; the final 20% goes to savings, investments, and reaching goals.

Step 6: Use a budgeting tool.

Once you have a budget created, you need to continue tracking your expenses and monitoring how well you stick to the plan. 

Tools can help with this. At the most basic level this means keeping a pen and paper record or a spreadsheet of spending and saving. If you want to get more high-tech with your budgeting you can decide to use online tools, like Mint to track your spending and how well you stick to your budget.

Step 7: Re-evaluate regularly.

Your budget shouldn’t be set in stone. As your circumstances change, your budget should also change. You might get a new job and start earning more or less money. You may come into an inheritance, change your financial goals, or start a family. 

Every few months, or at least once a year, re-evaluate your budget and adjust it as necessary. Decide if you are happy living with restrictions or if you have been too hard on yourself. Change the budget as needed to meet your goals, but also to make you happy.

Budgeting doesn’t have to be a chore. And the key to sticking with a budget is to make it work for you. There is no one-size-fits-all budget plan. 

Get started with these steps and, if over time, you find that your budget isn’t working, change it. Eventually you will find a plan that makes the most sense for your goals and for your lifestyle.

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