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Archive for November, 2008

Making a my budget work for global recession 4

November 23rd, 2008 at 07:12 am

I do have a few floats so that I have money if I ever need it. These are basic amounts to start with as I do have a credit card to pay any difference, with a plan to pay off the credit card ASAP if I ever have to use them. Starting with the float amount I have already haves saved. Floats - Emergency Fund -$1000, Car Repair Fund - $1000, Vet Fund - $300 so I would have some money in an emergency to start with plus my Bill Account starting Float - $1300.

These are my projected monthly figure for my Daily Living Budget and any thing not listed is to come out of my Personal Allowance or is covered in fixed budgeted Bill Account.

Eating out $33.50
Groceries $135.50
Non- Food $16.50
Clothes $33.50
Grooming $12.50
Gas $25
Pets $49
HH items $41.50
Fares $8.50
Entrainments $12.50
Garden $8.50
Gifts & Donations $33.50
Medical Prescription $5
Misc $8.50
Personal Allowance $84

Medications here are subsidized and as a pensioner pay only $5.00 per prescription most times. I am lucky in that I have only one prescription each month to fill.

On comparing 2008 year budget with 2009 projected budget, I have managed to prune off over $285 so far. I am hoping to not to use all money that I have projected but to find saving where I can both in my bill budget and daily living allowance. As I do not pay rent but do have all the others bills that go with owing your own home then some. If I do save any money next year then some lucky painter will get a job to paint my house as this my next project to work on.

Having over projected on my Fixed Bill Account by 20- 40% in most cases, with floats in place for any emergency that comes along and my projected daily living budget with a low but fixed income in the form a single age pension. Which even our government members has said, they could not live on it at today prices. It is around 40% of basic wage here. My pension is only $1135.80 a month to live on. I do think I can survive a global recession.

Making a my budget work for global recession 3

November 21st, 2008 at 10:29 pm

Once I had my Excel budget set up for next 12 months using the templates that I had kept. It was easy to review my budget using 2008 figures as all was on the spreadsheets.

Looking at my Bill Estimates Tracker which is my best program, I could work how much I would need for next year bills & regular expenses. I did over estimate here by 20% in some cases as with so much natural disasters around the place and my friend house insurance coming up to over $1000 per year on her renewal I have allowed extra 40% on that one and same with my car. All our bills have gone up mostly likely never to come down again; if they do you will find new tax or cost to keep at that level or higher. Normally I add 10% on the each bill per year but with everything going up its best to add more I hope I can go back to my 10% for 2010.

Here a little idea on how it works.

As this Bill Estimates Tracker can be changes by just changing the figures in it. You can see what any changes has on your budget at any point in the year, it done monthly with input on the amount going in, adding to want is left from the previous month on next column, list of bills for that month and next column has the amount with a total of that months bill and in next column you have whats left for that month hopefully it doesnt have a minus in it.

Column 1 ~ Months
Column 2 ~ Bill money input for that month
Column 3 ~ Money input plus previous month leftover money total
Column 4 ~ Bills for that month in order of due dates
Column 5 ~ Amounts of bills (including total in last line of that month - this let you see outgoing total on monthly bases)
Column 6 ~ Different between Column 3 & Column 5, This now becomes previous month leftover money for next month.

Each month is worked as separate to each other but interwoven into each other. So that if you change one figure all will change in the spreadsheet giving you a good overview of any shortfalls in the months to come.

I have found since I use this spreadsheet I know how much money I will need as a float to keep it going without worry where the money will come for the next large bill month which I have about every 3 months which more than my income before any rent or food is bought and on a fixed income you need to know these things. This year my kick start float is $1300 so that I will not at anytime going into a minus for any month. Last year it was around $1000 but I have taken two items out of it and made floats which will be a back up to this bill account money. Emergency Fund and Vets float, I have save enough not to include any more money for now. My bill account is now at $275 per pay input which has to be classed as bill money to keep this system working and cant be spent in other areas of my budget. I have been doing this kind budget on this scale for a many years now I know that I will not spend it on others things. Any money leftover at end next year will be the kick start float for the next year and any money above amount that will go into the Emergency Fund float.

This spreadsheet is only part of a group of spreadsheets used.

Next day to day living budget soon!

Other links in this series

Text is Making a my budget work for global recession and Link is
Making a my budget work for global recession

Text is Making a my budget work for global recession 2 and Link is
Making a my budget work for global recession 2

Text is Making a my budget work for global recession 4 and Link is
Making a my budget work for global recession 4

Making a my budget work for global recession 2

November 17th, 2008 at 08:45 pm

My way of working a budget out is both with a notebooks & Excel cross checking them both it only takes about hour longer to do each month.

I firmly believe in tracking all money down to the last cent. This is done with a note book I keep by my computer and once a week I will make an entry in the Excel program too! Having done this method for over seven years now I have got it down pat.

Now the next thing I will need to do is set up my next year templates in Excel ready to go!

Yes the way to go is making templates if using Excel it makes life a lot easier, you can always change them if you find an easier method. If I can work out how to write an Excel budget anyone can. HP online classes were a great help for this mind exercise.

Having done all that now its down to business with working out my future spending and reviewing all my bills to see if any can be changed to a better deals when they are due to be renewed. This is one I will need to list these so I can act on them when they are due by adding extra column in the Excel. This will be a new list as I have contracts with some companies and cant remember when they are due to be off contract so will need to work out a Reminder Calendar to keep up to date on this one. I would think many people could have this problem too!

To be continued soon

Making a my budget work for global recession

November 16th, 2008 at 01:23 am

Well I just did my 2nd last monthly tracking budget for this year, so its time to start making my next budget work for global recession. Being on an age pension puts me in the poverty level but I am not there in the true sense of that word. I can still live on what I am getting but I do have to make choices on what I can and cant do with it. Over next few weeks I will be working on my next annual budget for these troubling times.

My first thoughts are to get all my last year bills and expenses and add about 20% on to them as we here will be hit with a carbon tax on everyone so everything will be going up in price I will be better off if allow a large amount than keep change the amount as I go along.

Why I think every bill will be hit with a carbon tax?
Each business will be charges a carbon tax at different rates then will past that carbon tax down the line in the end to the each consumer.

Then you have credit shortage.
On top of that as credit is short owing to global recession some businesses will fold and other will start adding extra charges to their bills to get money in quicker. Like some are doing now but on much larger scale, pay in X days you will get a discount or after so many days will start charging you interest of what is still owing even if they havent sent you your bill but still in the pipeline. Fees for using credit card or debit card payments but this is the only way you can pay that bill.

How to beat them at they own game!
So you have to read ALL the fine print on each bill and service so you do not end up spending more than you dont have too! You need to shop around for the best deals and if you can change then do so.