It’s not your fault if you’ve been wondering why sticking to a monthly budget is so difficult. Monthly budgets are sometimes promoted as a one-size-fits-all answer to the complex financial conditions that many people and families face. They can be particularly challenging for those who face income fluctuates. So how do you overcome this?
With a Paycheck Bill Tracker.
I have a simple solution where I can combine two strategies that I have successfully implemented with clients for many years. This is especially good for those who own a business or work on commissions, and their income fluctuates month to month.
For 30 years I have helped people as a financial planner and coach. I have seen it all. Monthly budgeting for some reason has been one of the biggest challenges for a majority of people, regardless of their financial situation.
In previous articles I have discussed the Japanese method of Kakeibo and using budgeting apps. Click below to read further:
But there is no one size fits all. So now I want to write about a Paycheck Budget, and combine it with an income strategy I developed. This may be the perfect solution for you, if you have had trouble budgeting previously.
Assuming you get paid bi-weekly, here is a system to help you track your spending and use a monthly budget planner. This will help you to see where your money is going, your upcoming bills, and where you can cut back. It is simple to follow step by step.
- Make a list of all of your regular bills. This includes your rent/mortgage, car payment, insurance, credit cards, student loans, etc.
- Make a list of all of your upcoming expenses. This could include a vacation, a new piece of furniture, or a doctor’s visit.
- Make a list of your financial goals. This could include saving for a down payment on a house, saving for retirement, or paying off your student loans.
- Make a list of your savings goals. This could include an emergency fund, a rainy day fund, or a fund for a specific purchase.
- Calculate your monthly income after taxes. This is your take-home pay.
- Subtract your regular bills from your monthly income. This will give you your monthly leftover income. Include variable expenses.
- Income minus expenses equals your monthly cash flow.
- Subtract your financial goals from your monthly cash flow. This will give you your monthly savings.
- Subtract your savings goals from your monthly savings. This will give you your monthly leftover cash.
- Use your monthly leftover cash to track your spending.
What is a Paycheck Bill Tracker?
Not everyone can budget by the month. Especially if your paychecks fluctuate. If that sounds like you – you may have found that it is very difficult to find a good solution to your monthly budgeting issues.
That is where a paycheck bill tracker can come in handy. It is a tool that allows you to keep track of your expenses and determine which bills to pay with each paycheck. Paying your bills is simple if you just receive the same income paycheck to paycheck. But what if it fluctuates month to month?
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What is a Personal Budgeting System?
A personal budgeting system is a tool that individuals can use to track bills, spending and saving habits. By setting up a personal budget, individuals can see where their money is going and make changes to their spending habits if necessary. There are many different ways to set up a personal budget, but the most important part of budgeting is to make sure that all income and expenses are accounted for.
Once monthly budgeting is in place, individuals can track their progress and make changes as needed. A personal budgeting system can be a valuable tool for anyone looking to get their finances in order. By taking the time to set up a budget and track their spending, individuals can make informed decisions about their money and make changes to their habits as needed.
Some of the most popular personal budgeting systems and bill tracker systems are:
- Using Budgeting Apps (see reviews)
- Cash Envelope Stuffing
- Zero-Based Budget
- Kakeibo, the Japanese method of mindful spending.
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How Does a Paycheck Bill Tracker Work?
How much you can spend each paycheck by keeping track of when your expenses are due and then putting any leftover cash spending into ‘buckets’ for your different spending categories.
A Paycheck Bill Tracker is a simple way to keep track of your expenses and determine which bills to pay with each paycheck. It is an essential tool for anyone looking to create a budget template. It is easy to use and is very simple to understand. It also makes it possible to track multiple paychecks.
To Get a Copy of a Free Monthly Budget Template
- Be sure to File > Make a Copy so that you can use it for yourself
Many people like to use a calendar to show the entire month for when monthly bills need to be paid. This spreadsheet template allows you to create or track your budget by entering expenses directly into a monthly calendar. The amounts you enter are totaled at the bottom. You can also include other expenses in the table below the calendar.
If you prefer a more traditional paycheck bill tracker, consider this one from amazon
You can easily keep track of your money. The Bill Tracker is an excellent tool for organizing your bills and budgeting. The diary has nicely arranged pages for each month in which you want to budget and account for your bills.
There are 23 rows on each monthly page, divided into the following columns:
Another version that is in pdf if you prefer
So how do you use a paycheck bill tracker?
- The first thing you would do is make a list of all of your bills. These would be your fixed bills that you have to pay every month. This would include car payments, utilities, subscriptions, etc.
- Then make a list of your irregular bills. These could include bills that are quarterly, semi annually, or annually.
Add these bills up and divide the total by 12 – to get a monthly number to help you plan better with.
- Take your after take income, and subtract your savings from that first. Then subtract your regular monthly bills.
- With the amount you have left over – decide how you would like to spend your discretionary income. Dining out, etc.
- Use any left over money to make extra debt payments (use debt trackers), build your cash reserve or save even further.
What Are The Benefits of Using a Paycheck Bill Tracker?
A Paycheck Bill Tracker is a great tool for keeping track of your finances. It allows you to see where your money is going, and what bills you need to pay. This can help you stay on top of your finances and make sure that you are not overspending. It can also help you save money by seeing where you can cut back on your spending.
How Can a Paycheck Bill Tracker Help You Save Money?
The Paycheck Bill Tracker can help you save money by tracking your income and expenses. This can help you create a monthly budget and stick to it. You can also use the tracker to see where you can cut costs and save money.
Just by being mindful of your expenses, you will typically spend less. The Paycheck Bill Tracker will help you see exactly what you’re spending and how much you’re saving.
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Note: The content provided in this article is for informational purposes only and should not be considered as financial or legal advice. Consult with a professional advisor or accountant for personalized guidance.
