A monthly budget worksheet is a great tool to have for any household or family. It can help you plan and figure out how much money you will need every month to pay your bills, buy groceries, put gas in the car, etc. But, of course, it’s always best to be prepared! In this blog post, we’ll go through how a monthly budget worksheet helps you financially.
What is a monthly budget worksheet?
A monthly budget worksheet is a spreadsheet that helps you to plan and budget your income. For example, you can track how much money is coming in from different sources, such as salary or investments, and how much will go out the door for expenses like rent or mortgage payments; utilities such as water and electricity; groceries; gas purchases; etc.
The monthly budget worksheet allows you to see a summary of what’s going on with your finances at any given point in time – it provides an overview, so you know where things stand financially. It also gives you something concrete to refer back to when deciding how much should be allocated towards specific bills or other financial obligations each month.
How to use a monthly budget worksheet
Using a monthly budget worksheet can be as easy or complex as you want it to be – the level of detail included in your budget will depend on how much you want to get out of it. At a minimum, the following line items should be considered:
- Monthly income from all sources
- Fixed expenses such as rent or mortgage payments; utilities (electricity and water); groceries; gas purchases
- Variable expenses like car insurance premiums or gym memberships – these can change depending on what type of plan you choose, so they needn’t necessarily be taken into consideration every month
Once you have this information listed out in front of you in an organized way, then it becomes easier for you to make decisions about your money management strategy moving forward.
For example, if there isn’t enough cash flow coming in at the beginning or end of each month, you might want to consider spending less or earning more. You can also see how much money is coming in and going out, which will help you feel confident about your monthly budgeting process.
Benefits of using a monthly budget worksheet
So why is it beneficial to use a monthly budget worksheet?
It is a helpful tool to have in your arsenal when trying to get better about spending and saving money.
You can use this as a way of assessing the kind of financial decisions that are best for you, so it will be easier for you to cut back on things like credit card debt or figure out how much money is going towards fixed expenses each month.
This information can change depending on what type of plan you choose, so they needn’t necessarily be considered every month. However, once you have this information listed out in front of you in an organized way, then it becomes easier for you to make decisions about your money management strategy moving forward.
Here are some of the other benefits to using a monthly budget worksheet:
- You’ll be able to see your earnings and expenses listed out in front of you
- You can use this as a way to assess how much money is going towards fixed monthly costs, like credit card debt or mortgage payments
- It will make it easier for you to make decisions about your financial strategy moving forward
Why you should make your monthly budget worksheet
So why should you make your monthly budget worksheet instead of buying or using someone else’s? For starters, everyone’s financial situation is going to be different. Your monthly budget worksheet will reflect your individual needs.
If you’re married, for example, you’ll want to make sure that both partners are on the same page with how they manage their money, so no one feels left out or unimportant when it comes to making important decisions about financial strategy moving forward. On the other hand, suppose there is a difference in opinion between spouses. In that case, creating an open dialogue can help clear up any disagreements before they turn into more severe problems.
You might also find that using this system helps lower stress levels and makes life easier by giving each person control over their finances while still staying connected as part of a team–even if only through words on a sheet of paper!
The thing is, many people think budgeting sounds scary. And for some, it is. But not once you get the hang of it. By making your worksheet, you’re in complete control of what you put on it and how to make things work for your life. And when you find that groove, nothing will stand in the way of your financial freedom!
That being said, using a template is better than not budgeting at all. So if you don’t want to invest the time making your worksheet, I would recommend you try a simple template to start getting you into the habit of budgeting.
Tips for making the most out of your monthly budget
Here are some tips for making the most out of your monthly budget:
- Set realistic goals. If you’re just starting, don’t go for the highest goal on your list. You’ll feel accomplished and want to stretch yourself a little more after some time has gone by.
- Split up categories if necessary. For example, you can split groceries into produce, bakery goods, dairy products like milk or yogurt, snacks like chips or cookies, and other grocery items that might include toilet paper or detergent. This way, it’s easier to see how much is spent in each category and overall (which helps avoid feeling too overwhelmed at times).
- Track your spending habits with apps. Use apps such as Mint or Moneydance, so you have an idea of where most of your money is going without having to nitpick on individual line items.
- Start small. If you’re feeling overwhelmed with your budget, start small and work up from there. For example, try starting by tracking how much money is going into a savings account rather than where it’s being spent. Then, slowly increase the amount of time you spend on this task without making drastic changes, leading to backsliding or frustration.
- Have a backup plan. It may be helpful to have an emergency fund as a backup plan for unforeseen expenses like medical emergencies that might crop up in life. Some people also use these funds when they want to take vacations but are saving for something else at the moment – such as Christmas presents or their child’s college education.
- Don’t give up. Budgeting can be stressful if you don’t put the regular time into it. Make sure you get in touch with your money – know what’s going in and going out. Set up routine check-ins to review your budget worksheet with yourself or your partner. The point here is to keep going so you develop the habit.
How to create your monthly budget template in excel and google sheets
Now that you have a better understanding of budget worksheets and how they work, and why they’re helpful, let me give you some ideas on creating your budget template in Excel or Google Sheets.
Before we get into how to create your budget template, let’s take a look at some of the benefits that come with using Excel and Google Sheets for managing budgets.
- You’re able to save documents on both online platforms, which means you don’t have to worry about losing anything if there is an issue with your computer.
- The software gives you peace of mind knowing all of your data is backed up if something goes wrong – whether it be a hardware failure or even external factors such as fire or theft. And because it’s digital storage, no physical space needs to take up, allowing for more room in your office, home, etc.
- There are templates already available and ready for use, which can also save some time and headaches. There are also many free templates available for download that you can customize to your needs.
- These platforms allow for an infinite number of columns to categorize and organize everything you need, whether it be income, expenses, or even how much money is left over at the end of each month.
- And while budgeting might seem like a mundane task (isn’t everybody’s?), these tools make what could otherwise feel overwhelming into something manageable – so try them out!
Now, rather than trying to explain it, here’s a video that’ll show you how to create a budget in Excel:
And here’s another that shows how to create a budget in Google Sheets:
Building a budget worksheet is one of the first steps to get your finances in order. It’s a unique tool you can use for everything, from making sure you have enough saved up for retirement to calculating how much money you need each month just to make ends meet.
Putting time into building this document and then review it often will help keep your financial goals on track and allow you more freedom with your monthly spending decisions.
With so many valuable features included, why not give our free budgeting template a try? Put in the little bit of time needed now-you’ll be glad later when things are going smoothly!