Doing the budget.

So recently we have decided to move accommodation  and part of doing this is doing the maths on all the budget to figure out our left over budget for things like food and then anything surplus. This is mainly for my own purposes but it’s always interesting to me to see how other people manage their finances, so I’m returning the favour.

If I work on the premise that we make £1050 a month. That is our income. From that we must pay everything. The house we are moving to is going to cost £495 a month so

1050-495=555

So far so good. Now take from that 80 for council tax and 100 for bills.

555-180=375

If we decide to get the internet that will be about 25 a month (it’s ridiculously expensive I know) and take 20 for gym membership.

375-45=330

If I budget £10 a month for the tv license then that leaves me with 320. And I like to budget £40 a week for food (usually this includes one meal out) so 160 a month on food.

320-160=160.

Luckily due to the move our transport costs should be down to a zero (we’ve moved closer) so we’re saving £40 a month on travel. For some reason I think I’m missing something. If I budget £20 a month for phone contracts and £10 for miscellaneous charges then that leaves £130 a month that we can put into savings. Wooh! I think.

£130 a month means £30 a week surplus (times by 12 and divide by 52 for accurate results).

I think this is a lot better than I expected. This means if we manage to save it all (wishful thinking) then we can save around £1560 a year. Yay. I cannot help feeling I’m overlooking something but for now I’ll be happy… The only thing I can think is that council tax may be £20 more but that still leaves £110 a month.

I missed out house insurance which if I value at £300 for the year makes £25 a month, so £85 a month. Still doing well.

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