You’ve got the dream job, now what?
Your first pay will come in soon, so it’s important you know what to do with it. It’s tempting to live it up and spend all of your newfound money, but it’s also dangerously easy to blow it all and have nothing to show for it. Take charge of your finances by creating and maintaining a personal budget.
What is a personal budget?
A personal budget allows you to make sure that your not spending more than you earn. It’ll give you a clear outlook on how much your lifestyle costs, as well as how much you can save if you try.
By maintaining a good budget, you’ll be able to avoid getting yourself into unnecessary debt and therefore reduce unnecessary stress caused by money hassles.
The importance of a good budget
You might be saving for that car you’ve always wanted; or simply making sure you don’t run out of money before the next pay day. The first first step you need to take is to get a good budget sorted.
Not maintaining a proper budget can create unnecessary stress for yourself, so follow these tips to take charge of your money and set yourself up for success.
Tips for creating a budget
Some bills might be yearly, like your car registration; whereas others might be weekly such as your weekly fuel costs. Work them all out to weekly amounts so you know how much you should put aside from each pay.
List your expenses… all of them!
Break your expenses down and make it simple for yourself to see how much you spend; then separate them into two lists; your needs and your wants.
Ask yourself if each expense is something you need to survive, or simply something you want. This can be hard but it’s important to be cutthroat.
Start with the bills you need to survive, list them out and how much they cost you each week. Examples might be:
- Fuel to get to work
Then list those that you could live without, but like to have. Examples might be:
- The morning coffee you love from your local cafe
- Hobbies / regular social activities
Once you know how much money these cost you, you’ll be able to ensure you put enough aside each week to keep a roof over your head and food in your stomach!
Access free resources to help you
Taking on bills and financial responsibility can be scary, but there are a lot of free tools out there to help. Make it easy for yourself by accessing the tools available to you.
Search your app store using the key word budget and you’ll find lots of money help apps. The Australian government even has free tools and advisory services to help you manage your money. Click here to learn more about how to create a personal budget.