Creating a family budget can help the household family to control their expenses and save greater portion of their income. just few some easy steps.
To make and effective family budget you will need to collect all information about your financial resources, including sources of earnings and family expenses for which you need to create budget. Make sure that you don’t miss any source of income or nature of expenses. By the help of family budgeting you will trace all your family income and effectively track all your expenses related to family. I have discussed five easy steps that will enable you to create one for your family.
1. List the total monthly income for the family
It will include all the incomes that family member earn during a month from the sources like take home pay, part time business, rental income or other income source like saving income. The income of all family members should be included who participate in paying the household expenses.
2. Create List of all Household Expenditure
In this step you need to list down out all expenses of your family including basic life needs such as house rent or mortgage payments, house utilities, insurance, vehicle running expenses, cleaning charges, school fees and travelling costs. I advise you to add all those expenses that you have to pay unexpectedly, the amount could be based on past history of such expenses. List everything that you spend to run your family lifecycle.
3. Estimate Monthly Expenses
those expenses that you have to pay unexpectedly, the amount could be based on past history of such expenses. List everything that you spend to run your family lifecycle.
3. Estimate Monthly Expenses
I would recommend to create another list of expenses that you pay at the end of each quarter, at the end of every six months and the end of each year. Then break these expenses into a monthly amount. Recall such expenses and take their monthly average to reach an accurate figure of monthly expenses.
To make and effective family budget you will need to collect all information about your financial resources