The Starter Budget

Our starter budget is great for those who are looking for a first-time budget. We will go over how to use the budget, and what to do once you’ve completed the budget.

Click here for a Google Sheets Budget Templete.

(To make a copy on Google Drive, on desktop click file at the top left, and then click make a copy. On mobile, click the three dots at the top right, click Share & Export, Click Make a Copy)

To download Excel, click File > Download > Microsoft Excel (.xlsx)

Step 1 – enter fixed expenses

The first step is the easiest to complete because these expenses will remain rather consistent. Your rent/mortgage payments usually only change on an annual basis, and your phone and internet bills should be consistent.

Step 2 – enter monthly loans

These expenses may change month-to-month, however some of these bills may stay the same for a few months. We will of course come back here later when looking to reduce a major impact on your bills. You can enter minimum payments for credit cards or other loans, or if you pay above the minimum payments, you can enter that.

Step 3 – enter variable expenses

This step will take some research. Variable expenses are generally controllable, but it’s important to estimate what you’ve been spending for the last few months. A good rule would be to take the last 3-6 months’ average for these expenses and enter that information. Don’t underestimate these expenses – just be honest.

Step 4 – enter your monthly income

Depending on your situation, you will enter your monthly income for the whole household. If you split bills with a partner/roommate, you can enter your income only.

Step 5 – evaluate

The file will finish all the calculations for you. Once you’ve entered all of the above data, you can find your available monthly income. This number will indicate your disposable income for the month after all your expenses are considered.

This is a good time to save the file and start making some changes. Imagine you were to pay off your credit card bills. What change would this make to your monthly available income? If you can pay off that latest car purchase, are you saving $300-$600/month? Maybe you fix that running toilet (it can help, trust me), or cancel an unused subscription.

Making a budget is an extremely important first step to controlling your finances, and achieving financial success. For more steps, see our full budget and financial plan here.