Just in time for the New Year! Creating a budget allows you to track, review, and modify where your money is going each month.
50-20-30 Budget Rule:
One method is the 50-20-30 budget rule. Apply 50% of your take-home pay to needs, such as your mortgage or rent, utilities, groceries, and transportation; 20% to savings, investments, and debt payments; and no more than 30% to your wants or flexible spending, such as travel or entertainment. These are not exact percentages, and you can modify them to work for you.
If you do not know how to start, the Federal Trade Commission has a worksheet available to help you get started. It helps you evaluate which expenses are flexible and which are fixed.
Download the Make a Budget Worksheet this https://www.mycreditunion.gov/exit-disclaimer?url=https%3A%2F%2Fwww.consumer.ftc.gov%2Farticles%2Fpdf-1020-make-budget-worksheet.pdf