Budget Planning Worksheet is a tool that will help during the process of creating a plan to spend your money. Creating such a spending plan allows us to find out in advance whether we will have enough money to do things or not. The needs of the present are very many, everyone has different needs. The existence of various needs can trigger a lot of expenses. Not a few people choose to do debt to others.
So how important is budget expenditure? A budget is a financial plan that is arranged systematically which includes all economic activities carried out for a certain period of time. As a financial plan, a budget is generally made in the form of a table in several rows and columns containing the dates and types of expenses.
Who says the budget is only for companies to manage their finances? Everyone is legitimate to make and compile a budget to manage finances, both personal and household. However, the budget prepared by the company is certainly more complex than the budget for individuals or households.
In principle, financial management through budgeting is very important. Not only calculating, but also requires skills in classifying expenses, tracking, and high self-discipline. It certainly doesn’t come naturally, but it takes years of practice, practice, and even improvement. Create a simple, even monthly budget worksheet so that your finances are better managed. You can refrain from buying expensive things you don’t need. Also, with a budget, you can also resist the temptation of big discounts at certain moments and prefer to save on expenses and save your money for more important needs.
The goal is of course to make it easier for you to determine your needs easily. The existence of a monthly budget worksheet can be a solution for those of you who are confused in determining the budget that is issued each month.
Steps for Creating Budget Planning Worksheet
Even though it looks simple, many people are confused and don’t even know how to prepare a budget. Indeed, special skills are not required to create and compile them, you only need an understanding of the basics of financial accounting. Because budgets are generally arranged in the form of a table consisting of rows and columns containing the date, types of expenses, and of course the nominal expenditure.
Here are steps you can take to create and compile a simple budget to achieve financial stability and avoid debt traps and shackles.
1. Create a monthly budget planning worksheet or table to record and track expenses
In simple budgeting, the first step to take is to create a blank worksheet or table consisting of several rows and columns. Make two tables, where the first table is used to record daily expenses, and the second table to record payments or expenses that are fixed.
Making this table can be done using software such as Microsoft Excel so that budgeting becomes easier. In addition, it can also be made manually in a special budget notebook or in HVS paper sheets. If you choose to use HVS paper, then make sure you photocopy the template so you don’t have to recreate it every month.
2. Classify fixed and variable expenses
Before entering the new budget period, plan the expenses that will be made in the coming month. Classify expenses that are fixed and not fixed. In essence, determine the necessities of life that often weigh on your finances at the end of the month.
3. Start recording expenses and follow the progress
Now both budget tables are ready to use. Therefore, record every daily expense made. For that, you must take the time to carry out these routine notes. Increase motivation and self-discipline so that you can run a budget and keep records in an orderly manner. Write down each expense in each column of expense items that have been prepared until the end of the budget month period.
Those are some explanations about how to easily plan a budget using a monthly budget planning worksheet.