How to Create a Personal Budget

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have a balance.</p><p id="bf61">Certainly, constructing a personal budget ain’t rock-and-roll science, but it’s one of those essential things in life. Balancing your earnings with your expenditures and savings is like having a balance between your social and work lives. In the future, you will be thankful you did a budget, no matter how simple.</p><p id="f7b3">Better yet, track your income and expenses each week or month to make sure you will achieve your personal goals.</p><p id="d255">Grab a pen or, even better, a budgeting app, and count those chickens; make sure they turn into what you aim for.</p><p id="e7d7">Until next time.</p><p id="467d"><i>Thank you for reading! If you enjoy my writing, it will help me to follow and subscribe so I can keep contributing engaging content.</i></p><p id="78bb"><a href="https://gregorygfox.medium.com/subscribe"><b>Subscribe Here For an Email Reminder of my next post.</b></a></p><h1 id="e03c">Thanks for reading</h1><ul><li>👏<i> <b>Please clap for the story (50 claps) to help my article</b></i></li><li>🌐 <i>Share the story on Social Media</i></li><li>📝 <i>Join the Medium Membership Program for only 5$ a month, and support other writers and me to keep up the tremendous work.</i></li></ul><div id="2de7" class="link-block"> <a href="https://readmedium.com/what-is-the-stock-market-8401070a9e2f"> <div> <div> <h2>What is the Stock Market?</h2> <div><h3>A Simple Comparison to a Fruit Market</h3></div> <div><p>medium.com</p></div> </div> <div> <div style="background-image: url(https://miro.readmedium.com/v2/resize:fit:320/0*FuRo-tCYdUIkPl8F)"></div> </div> </div> </a>

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Yes, this is important!

Image by Gregory G Fox

So, you know that expression, “Don’t count your chickens before they hatch”?

Okay, that’s pretty much what you’ll have to do in the money world! Planning your budget stops you from being caught off guard when spending or saving. So, here’s the lowdown on how to create a personal budget that doesn’t suck the life out of you.

First, you need to know what’s coming in. Say you’re raking in an incredible $3000 a month from your gig and perhaps another $200 from side hustles like dog walking or selling your knitted hats on Etsy. That’s your income, the dough you’ve got to play with.

Next, let’s talk about the outgoing flow and the expenses. Imagine, if you may, paying something close to $1000 for the rent, $300 for your groceries (cause you know, food is life), $100 for your mobile and internet (gotta be in touch), and let’s not forget a bit of $200 for going out and having the other types of fun. After all, you’re no fool, and you’re tucking $400 into a savings account or investment for those rainy days or sunny getaways.

Here’s a quick breakdown:

Income: $3,200 (from main job and side hustle combined)

Expenses: $2,000 (rent, groceries, bills, fun money)

Savings/Investment: $800 (rainy day money)

That leaves you with $800 of “do what you please” money. Maybe you save more, invest in a course, or splash out on something extraordinary. I would say the best approach is to have a balance.

Certainly, constructing a personal budget ain’t rock-and-roll science, but it’s one of those essential things in life. Balancing your earnings with your expenditures and savings is like having a balance between your social and work lives. In the future, you will be thankful you did a budget, no matter how simple.

Better yet, track your income and expenses each week or month to make sure you will achieve your personal goals.

Grab a pen or, even better, a budgeting app, and count those chickens; make sure they turn into what you aim for.

Until next time.

Thank you for reading! If you enjoy my writing, it will help me to follow and subscribe so I can keep contributing engaging content.