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Budget Worksheet - “ You don’t get rich by what you earn. You get rich by what you don’t spend.” - Henry Ford

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1) Budget Worksheet “ You don’t ge t ric h by what you e arn. You ge t ric h by what you don’t sp e nd.” - H e nr y Ford Introduction Step 3 An important first step in money management is to create a budget. A budget is a spending plan - an estimate of expected income and expenses over time. It should be adjusted as your financial circumstances change. Try to set up an “emergency” fund, save and invest for your future, and pay off debts as fast as possible. List all your monthly expenses, bills, and debts owed. Some expenses (such as insurance & property taxes) may be billed quarterly or semi-annually, so adjust them to reflect a monthly amount. Then total all your expenses. Step 1 First, track your daily spending. For one month, write down every single item you purchase. Be sure to include coffee, parking, lunches, stuff for the kids, dry cleaning, credit card payments, postage, etc. This will help you identify exactly where you spend money, and help identify opportunities to better manage your money and perhaps reduce spending. Step 2 Step 4 Compare your Monthly Income to Monthly Expenses to get a clear picture of where you spend your money. Think about where your money goes and consider what opportunities exist for savings, retirement funds, and debt reduction. Often, as a result of seeing all expenses on paper, consumers can distinguish opportunities to reduce their spending. Also, contact your creditors, service providers, and other account holders to see if you qualify for any discounts. For example, retail stores and phone companies often offer promotional discounts which may save you money. List all your monthly income sources. Include salaries/ wages, tips, commissions, and child support/other support, etc. If you are paid weekly or twice-monthly, or if you receive occasional income, you will need to adjust the amounts to reflect a monthly amount. Then total all your income sources. Februar y 2015

2) Step I. Track Your Daily Spending ITEMS Cost Monthly Cost Annual Cost Example: Coffee $2.50 $50.00 $600.00 (purchase coffee every day for 20 workdays per month - and it all adds up! Soda $ $ $ Snacks $ $ $ Fast Food $ $ $ Restaurants $ $ $ Magazines/ Books $ $ $ Cell Phone Apps $ $ $ Digital Media music/games/video $ $ $ Physical Media dvds/cds/games $ $ $ Sports $ $ $ Entertainment $ $ $ Clothing $ $ $ Shoes $ $ $ Jewelry $ $ $ Accessories $ $ $ Health/Beauty Items $ $ $ Transportation $ $ $ Parking $ $ $ Other $ $ $ Other $ $ $ Other $ $ $ Other $ $ $ Other $ $ $ Total $ $ $

3) Step II. List Your Monthly Income Monthly Amount Salary/Wages $ Spouse/Partner Salary/Wages $ Overtime $ Bonuses $ Commissions $ Tips $ Pension/Retirement Payments $ Social Security/Disability $ Child Support/Other Support (as income) $ Other Household Income $ Other Income $ Other Income $ $ Occasional Income: $ Gifts Received From Others $ Tax Refunds, etc. $ Lump Sum Retirement/ Insurance Payments $ Lump Sum Unemployment/ Disability Payments $ Other $ Total Income $

4) Step III. List Your Monthly Expenses Housing Due Date Method of Payment Monthly Amount (Check, Cash, Charge, etc) Rent/Mortgage $ Homeowners/Renters Insurance $ Other Housing Fees $ Household Maintenance/ Repairs $ Yard Maintenance $ Property Taxes $ Housing Deposit (first-last months’ rent, etc) $ Total Utilities Due Date $ Method of Payment Monthly Amount Electricity $ Gas $ Water $ Garbage $ Sewer $ Internet $ Cable TV $ Telephones - cell & home $ Total Food & Household Expenses Due Date $ Method of Payment Monthly Amount Groceries $ Dining Out $ Pet Food $ Beverages $ Other Food Expenses $ Household Misc. $ Total $

5) Step III. List Your Monthly Expenses - continued Credit and Banking Due Date Method of Payment Monthly Amount Credit Card Payments $ Student Loans $ Auto Loans $ Other Loans $ Bank Fees $ Other Finance Costs $ Total Due Date Method of Payment Medical Care $ Monthly Amount Medical/Dental Costs $ Insurance Payments $ Vision Care $ Medication $ Medical Co-payments $ Veterinary/Pet Costs $ Other $ Total Due Date Method of Payment Children (or other Family Members) $ Monthly Amount Childcare $ School-Related Costs $ Sports/Activities $ Allowances for Children $ Other $ Total Due Date Method of Payment Transportation $ Monthly Amount Fuel, Transit Costs $ Car Insurance $ Parking $ Car Maintenance $ Other Commuting Costs $ Total $

6) Step III. List Your Monthly Expenses - continued Due Date Personal Method of Payment Monthly Amount Beauty/Hair $ Clothing, Shoes $ Laundry/Dry Cleaning $ Gym Membership $ Subscriptions $ Other $ Total Due $ Method of Monthly Savings Accounts $ Investments $ Educational Savings Accounts $ Retirement Accounts $ Other $ Total Due $ Method of Monthly Gifts Given to Others $ Holiday Expenses $ Child Support Payments $ Other Support Payments $ Charitable Donations $ Entertainment/Recreation $ Vacations $ Other $ Other $ Total $ Total $ TOTAL MONTHLY EXPENSES

7) Step IV. Compare Income to Expenses Monthy Annual Total Income $ x 12 $ Total Expenses $ x 12 $ M anage Your Money It is imperative that you start establishing or rebuilding your credit profile, but it is just as important to have a budget and make a commitment to spend money on your necessities first. When going back through your worksheet, you may find new ways to save even more money. Financial Lite rac y Financial Literacy is the ability to read, analyze, manage, and communicate about your personal finances. Having finacial knowledge helps to create a budget that fits your personal financial goals. Resources Visit our website to find other financial literacy related links. You may also visit FDIC MoneySmart – Online Financial Education Program. http://www.fdic.gov/ C A De par t me nt of Busine ss O ve rsight 1-866-275-2677 www.dbo.ca.gov To request additional copies of this publication, please call Toll-Free or email forms@dbo.ca.gov