Budget spreadsheets

[Quicky]

I've decided to get a bit more organised with budgeting.

Does anyone have a good, preferably free, budget spreedsheet that they could recommend? Or is it better to just to create your own?

Any advice on establishing a budget and what to consider would be appreciated.

Cheers.

 

[Caesar]

I use Quicken now, but I used to use this spreadsheet:

http://www.vertex42.com/ExcelTemplates/money-management-template.html

I like it because it's very comprehensive, has good instructions, and doesn't use macros (which makes it easy to understand and less prone to bugs). I think Vertex42 also has a couple of more pared back/simple budgeting spreadsheets if that's a bit full-on.

With setting a budget, I tend to do it in a few steps (perhaps common sense):

1) Work out what you currently earn/spend: Dig out bank statements, credit card receipts, big bills. Track your spending for a week or two for the incidental/cash stuff. Plot that out on an income/expenditure table.

2) Work out what you have to spend each month: Start your budget with the essentials that you don't have a lot of control over. Rent, loan repayments, utilities, groceries. Car rego, insurance, weekly petrol, phone bill. For expenses less frequent than a month, work out how much per year and then divide by 12 to work out how much you need to be putting aside to cover them.

3) Work out what you want to spend each month: Categories like entertainment, playing sport, restaurants, drinking, clothes, birthday/Christmas gifts. You have to spend stuff in these categories, but you have more discretion over how much.

4) Work out what you have left: This is your savings.

If you don't have enough in (4), revisit (3). If you really need to make some really deep cuts in your spending, that's when you look at (2) - but that tends to be a last resort. Generally involves stuff like moving into a cheaper place.

The important thing is to make it realistic with the cuts in (3). e.g. Spending $100 a weekend on alcohol might seem excessive to one person, but if you're currently spending $200+ a weekend then it's probably a realistic cut. No point budgeting that you're suddenly going to stop drinking if you know it's not going to happen. If you do cut down to $100 at first and you still want to save money, you can always reassess.

Always worth building in some wiggle room to your budget. You always run over more often than you run under.

 

[HigginsHawk]

Many bank websites have some good free ones. I've had a look at a few 'apps' for the iphone. Nothing spectacular yet but I'm sure you would find a decent one in there as well. As Caesar said, wasting your time unless you are 100% honest with yourself. If you spend $200 on a Fri or Sat night put it in.

They are a good exercise for people to go through if you are wondering why you can't save money.

 

[Quicky]

Thanks for recommending Vertex Caesar. I looked at a shitload of spreadsheets and this was the best balance between detail and useability/simplicity easily.

I went into the bank today and opened up a second savings account so I now have one I don't touch and one for holidays or stuff I want.

Breaking it all down I am doing ok. I think I could bring down my groceries and take away costs comfortably and save a lot. I also think between phone/internet and looking at pay tv there may be room to get a better deal which I am looking into.

It is surprising how much cars cost when you add up the collective expenses at the end of the year.

I also saved a potential expense by contacting my super and finding out I have really good income protection through them already.

What I am having trouble with budgeting for are things like car maintenance, clothes, haircuts etc. In other words irregular but inevitable expenses. Any suggestions on how to calculate these?

I am pouring over old bank statements to get an idea but these sometimes are a bit vague. I'm thinking I might need to keep a log of these over a month and see what it comes out as.

Or maybe I'll just set an allowance and if I can't afford something tough.

 

[powerful girl]

I actually work in a relevant area, and have a spreadsheet that is very simple to use and shows all your expenses in a pie chart so you can see where your money is really going visually. It is only an excel based program, but is quite good if you would like a copy PM me.