Balancing your budget

Budget table
It’s always useful to have an idea of what are your spendings if you want to reduce them. I made myself a table where I write all my main spendings and that way I see where I should cut and how much money I can actually save.

The one I put as an example is for 2016 that’s why it’s not entirely filled because I fill it out as the time goes and as I spent.

Reducing your expenses

By filling out this table you can see where are your biggest spending and try to decreased them. Here are my tips for every expense.

  • Rent: I used to live alone in a small 1 1/2 appartment and pay a crazy price. Now, I chose to live with roomates and it’s way cheaper. Also, the appartment is much bigger and nicer.
    You can also rent by months on Airbnb, my friends did that in Vancouver and it was the cheapest option, but you have to move every month or so.
    If you are in University you can choose the residences of your school it’s normally cheaper and they include wifi, cable, etc.
  • Transport: When I was living in a rural area with my parents I had a car and luckily I had no other spending because having a car when you don’t have a good paying job is very expensive. It basically sinks all your savings.
    Now that I live in a big city I gladly pay for my bus/metro pass monthly for 80$.
    In occasions, I use Uber instead of regular taxis because it’s way cheaper (be careful on holidays they raise the prices).

  • Bills: This category covers all the regular bills we have to pay every month like your cellphone, internet and electricity.
    For electricity, you can decide to pay every month the same amount of money instead of paying for your real consumption. For me it’s beneficial since I live in a country with hard winters and the price are going of the roof during this time.
  • School: This category is empty for me now because I am going back to school in August, so I have a little break.
    When I use to go to University I would buy old books from former students who had the same class as me and sell them back after the semester, this would allow me to save hundreds of dollars.
    I also always worked during University because it would give me some money and at the same time oblige me to be on a schedule wich helped me a lot. Don’t be afraid to get student loans it’s always better than waiting to have all the money because anyway your diploma will help you out getting a good paying job and refund it. Plus, student loans’ interests are starting once you finished your education.
  • Debts (credit): I am very lucky to have an empty space for this one I just refund the last 200$ of my debt and I am now free from it!
    What I use to do is take 100$ from every paycheck and put it on my debt. Also, if you have to much debts from different creditors the best thing is to call a meeting with your bank and consolidate all your debts with them. This way, you pay less interests and you pay all to one place only.
  • Entertainment spendings: This is the place where you can make a difference and put a little more money in the «savings» collumn. This is all the cinema, alcohol, restaurants and so on space.
    This category is where you have all the power and I already made an article about reducing those spendings.
  • Savings: This is the square I cherish the most because it’s with this money I will be able to leave for my next travel before going back to school. It’s very motivating to create a square «savings» when you have a project for this money. I encourage everyone to add this part in their table.

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