4 Tips For The Family Budget!

If you have had to become the money advice expert for your family because of the tough times recently, you have almost certainly created a family budget planner. Unfortunately most people who do this fail to follow this template tightly enough.

We would like you to consider getting some help on keeping on track by getting everyone in your family involved. Of course if you are a single person but otherwise the more the merrier.

  1. Do not be afraid to discuss with your spouse and the kids about the challenges that you are facing in keeping within the budget. The chances are that they will be a part of the reason anyway. When you are totally up front with them all on the regular bills and mortgage payments that you face each month, they will be in a better position to help you than if they know nothing.

They will feel a part of the personal financial planning for the family. It will also make them, especially the kids, think twice about any reckless spending that they may be thinking of. There will definitely be areas in which they can cut back as well as you.

  1. Write down on a piece of paper, on a spreadsheet or in a family budget planner, all the monthly expenses and break it down individually for each family member. If one of them sees that he is spending more than any other he may decide that he can cut back dramatically to save some money.

It will make the children feel a lot more involved and will give them a good grounding on which to base their own money management when they grow up.

Another thing that you could do is to allocate a certain allowance to each person each week. You probably do this already but I wonder whether you give in and spend some money on their behalf when they ask for something. Let them manage their own money from an early age. They will appreciate its value a lot more.

  1. Limit your expenditure each week. Decide on how much actual cash you can afford to spend each week and then put it aside and do not be tempted to withdraw any extra. By doing this you will have to prioritize your spending on the need things rather than the want things.
  2. Save on your own expenses. If, for example, you buy fast food for the family on a regular basis, sit down with a calculator and work out how much that costs you each week on average. It does not seem a lot at the time but over a month or year it can blow your budgeting to pieces.

You can get a lot more family bonding by doing the cooking together as a family, eat a lot more healthily and save a ton of money in the process. You win three ways.

Then look at the extortionate cost of a coffee out. How much does it cost at home? Do you really need to buy a morning newspaper and an evening one as well?

No doubt you have to be a taxi driver for the kids as we all do. Work out the route you will take and make sure that it is efficient in the use of both your time and the gas the car uses. Try to make it into one trip rather than several.

When you put these simple tips into practice you will be amazed at how much more money you have left at the end of each month just because of the family budget worksheet.