Here at Sanchez Garrison & Associates, LLP, we believe that one of the most beneficial financial-stress relievers is a good budget. For those unfamiliar with how to budget, you need to write down or type up every source of income that you have on a regular basis. Whether it be from your job, social security, or however else you make steady money, it helps to document every penny so you know what you have to work with.
Once you have calculated your monthly income, you need to calculate all of your monthly expenses. These include:
- Electric bills
- Gas bills
- Phone bills
- Car payments
- Mortgage/rent
- Groceries
- Gas
- Entertainment subscriptions
- Anything else that costs you money on a regular basis
It can be difficult to calculate exactly what your utilities may be for the next month, or how much you spend on groceries since these costs can vary. For these kinds of expenses, it helps to average out what you pay over a few months.
Once you have sorted out the details of your monthly costs, you can identify where you are spending money that you shouldn’t be and other areas where you can cut down on monthly expenses. This will help you save more money for when you need it and make it so that you control your spending. When you know exactly how much you have to spend at the grocery store, for entertainment, and more, it is much easier to control your spending and create a healthy financial situation for yourself.
For those who live in Baltimore or it’s surrounding areas and have a substantial amount of debt, contact us at Sanchez Garrison & Associates, LLP, today for a free consultation and legal advice about how to proceed with your situation.