The Beginners Guide to Creating a Budget

If you’re looking to take control of your personal finances, creating a budget is the first place to start. A budget tracks your income and expenses and allows you to easily see which areas may need improvement.  A personal budget spreadsheet also helps you set savings goals and set aside money not just for bills but also for fun!

Making a budget may sound intimidating, but there’s an easy way to do it. We’ve put together a free simple monthly budgeting template to help you get started learning about where your money goes each month.  Feel free to customize the template to include your unique financial obligations. The spreadsheet includes the following components:


List all of the income you made during a monthly period.  Be sure to include all full and part-time job incomes, as well as any additional income such as rental properties.  If the amount you make varies month by month, estimate the average income at the beginning of the month and fill out the actual income at the end.  Your estimations should become more accurate based upon actual income averages you calculate over time.


Fixed Expenses

Fixed expenses are expenses that remain the same each month. Examples of fixed expenses are loan payments or certain utility payments. These expenses can also include; mortgage, rent, Internet, student loans, etc.

Variable Expenses

These are expenses that fluctuate each month depending on a variety of factors. Many utility bills are based upon usage, like water or electric, and may be more or less expensive depending on the month. Other examples include food, gas, clothing, and entertainment.


Arguably the most important part of your budget, setting aside money to save shows that you are able to spend less than you earn and properly plan for the future. The golden rule when getting paid is to pay yourself first, ideally at least 20% of your monthly income should go towards savings. Make sure each paycheck sets aside money to the savings accounts of your choice.

Budgets can be incredibly easy to make and maintain. Download our FREE Monthly Budget Template today and get started tracking your finances with ease.

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