THIS WEEK’S ACTIVITY: Creating a budget
There are three things you need to include in a budget: income, daily expenses and large expenses. Large expenses are things like car registration, insurance (health/home/car) and mortgage. To start:
● Write down your fortnightly income.
● Fill in your everyday expenses and calculate the total.
● Figure out how much your large expenses are costing you fortnightly. To do this, check old bills and statements to find out how much each one costs each year. Once you know the annual amount, divide by 26 (weeks) to see how much you spend in a fortnight.
● Calculate the total.
● Now add the totals of your everyday and large expenses together to see how much you spend every fortnight.
● Finally, subtract your total expenses from your income.
This is the money you have to spare. By adding at least some of this to an emergency fund, these savings could come in handy for a ‘rainy day’. If it’s not enough, review your spending diary to see what changes you can make.
Tools for budgeting
There are free templates and tools to help you.
Check out the excellent budget planner tool on the Sorted website.
For more than 10 years, ANZ, together with a range of community partners, has helped nearly 300,000 people worldwide improve their financial skills through the MoneyMinded program. It's been so successful, we've decided to share a few ideas with everyone.
Each Monday, we'll share a simple, fun tip. So whether you want to learn better budgeting tips, reduce your debt or start saving, check back each week to stay updated. You’ll be amazed what’s possible when you take it one Monday at a time.
Other MoneyMinded tips:
What is MoneyMinded?
MoneyMinded is an award-winning financial education course which teaches basic budgeting, savings and money management skills to help people build their financial skills and confidence. Developed by ANZ, government groups and education experts, MoneyMinded has helped thousands worldwide and is still going strong.
Our investment in innovative financial education programs is part of ANZ’s commitment to help build the prosperity of people living in the communities in which we operate. Learn more about MoneyMinded here.
Our MoneyMinded community partners include
Find Your Possible
MoneyMinded has helped thousands of people worldwide. Here’s what people are saying:
The biggest thing I learned was how to budget - how to use my money in better ways. I really wanted to do (MoneyMinded) for the budgeting advice because sometimes I could be quite frivolous and spend it on rubbish. - Mereanna Smith
“This material is for information purposes only. Its content is intended to be of a general nature, does not take into account your financial situation or goals, and is not a personalised financial adviser service under the Financial Advisers Act 2008. It is recommended you seek advice from a financial adviser which takes into account your individual circumstances before you acquire a financial product. If you wish to consult one of ANZ’s financial advisers, please contact us on 0800 269 296”.