Keeping a budget

As the year closes, I’m pretty sure most people are making promises to themselves once again. Like how they’re really gonna work harder to lose weight, save more and so on. Well..

Same here. HAHAHA. I promised myself to have my finances in order.. month after month.

Back in September, I finally paid off my debts and started keeping a budget. Three months later, I still pay my bills on time, invest regularly and most importantly, I’m debt-free.

Keeping a budget feels rewarding, and if you stick to it every month, it can be addicting.

In case you’re planning to create a budget, you can download my budget templateΒ here. I prefer to have mine on Google Sheets as it’s easier to manage, and I can access it wherever I am.

It’s best to keep in mind that there is no one-size-fits-all template when it comes to budgeting. Your budget should always be aligned with your priorities, be it long-term or short-term. By doing so, you become more committed to keeping your budget.

If you’re downloading my template, and you’re wondering why it looks that way or how you can use it, let me help you out.

My budget has 4 categories: payables, savings, investment, and miscellaneous.

  • Payables are the (non-negotiable) products and services I pay for on a monthly basis to survive like rent, water and electricity bills, etc.
  • Savings can be divided into two: emergency fund and savings goal. Emergency fund is used in case I lose my job or get sick. Savings goal, on the other hand, is used for big and small purchases which I already planned months in advance. For example, I can buy a smartphone worth Php 10,000 by saving Php 2,000 every payday. After 5 paydays or 2.5 months, I’ll be able to afford a new smartphone without breaking the bank.
  • Investment includes stock market, mutual funds, side businesses. I invest heavily on real estate, leveraging on my father’s expertise in construction which saves me thousands in labor and materials.
  • Miscellaneous includes living expenses and debt reduction plan. Family expenses refer to the financial support I give to my parents. Work expenses include spending for team-related activities, etc. Personal expenses are what I spend to keep myself happy. If I have debts, I prioritize paying it off by regularly setting aside money to reduce the balance owing. [ Note: if you’re already deep in debt, it would be best to find another source of income and live a frugal life until you’re debt-free. ]

I hope you find my template useful. If it works for you or if you have questions, please let me know. I’d be happy to answer through the comment section. Feel free to share away! πŸ™‚