Home Budget Spreadsheet Template
A Home budget template provides the user of it a route to decide the route to manage the household finance and help him or her to properly allocate or plan the spending over a period of time which is generally a month or a year and it is one of the best-organized ways to manage our household finances.
About the Home Budget Template
The household budget template captures all the sources of income one has and also the spending. It sets up an initial budget balance and also gives a projection of the final end balance which is expected to be there after deductions of all the expenses from the incomes. Let us go about part by part.
Here we need to enter the set budget/projected balance we plan to allocate from our regular source of income. The total income is the total of the incomes from various sources that one has. The total expenses take the addition of all the expenses which are possible in one’s lifestyle. The Net gives us the difference between expense and income. A positive net means income is more than expenses and a negative net means expenses are more than income earned. Here we basically calculate the difference between projected and actual income and expense. Finally, the net arrives which is either positive or negative.
Here we take into account all the income-related numbers. A person can have multiple sources of income. We capture all the possible sources of income and add it up as the total income. The other section can be interested in deposits earned or dividends earned from investment and other recurring/non-recurring incomes flow.
Here in this part, all the expenses related to home/house gets captured. It takes care of the home loan which is the EMI paid to the bank. Also, expenses like electricity, gas, water, telephone, and cable are captured here. Internet which is an essential requirement for every home now is also captured in this section. The repairs spent on home or maintenance amount spent over the property and the property tax paid are also shown here. Any kind of miscellaneous amount spent against property is also captured in this section.
This section captures all the premiums and investment-related fees that we must pay towards our investment needs. This includes allocating funds towards investments from our savings and paying of retirement premiums and other required savings plans. This also means the creation of emergency funds. The entire investment needs are taken care of here which includes retirement planning premiums to the contingency fund.
This part is majorly related to the loans or line of credit involved with one. The credit card today pays a major role in everyone’s life and all the payments made towards credit taken and captured here. Any kind of student loan or payment towards alimony is also noted in this section.
This is the most common expenses for every monthly budget. A set amount is allocated for the grocery and other needs like clothing, education, salon, etc. These are more or like stable in nature and can be easily decided based on the consumption rate. Here we take care of all clothing and salon related expenses too.
Entertainment is a part of everyone’s life and it has been seen an individual will spend a certain amount of his earning every month towards it. This includes movies, travel, sports, hobbies, etc. Travel plays a key expense in the life of every individual in the US/UK as it has been seen people like traveling a lot and in the process to explore places they spent a lot of their savings over it.
Here in this section, all the needs related to children are taken care of which includes their schooling, clothing, tuition, toys, etc. This forms a major source of expense for all household budgets since the cost of raising a child has become very high in the US/UK.
Here all the expenses related to raising and maintaining pets are taken care of. The entire medical expense related to pets too are also captured here.
This section is specific to the amount spent against commuting requirements. Transportation plays a key role in our movement from place to place and a major amount goes for a regular commute. Be it a personal vehicle or public vehicle a certain amount of fixed cost is always allocated on a monthly basis towards commute. On buying a car one needs to pay monthly EMIs or the fuel cost or repairs and maintenance. Nowadays, even parking is costly thus every day we shed upon a good amount of fee towards parking which has been also captured in this template. The car insurance part for private vehicles has also been shown in the template.
Any amount spent over regular subscriptions every month is captured in this part. It is very common today for everyone to have at least one subscription towards digital OTT movies or magazines. Thus the monthly amount spent over these subscriptions is captured here.
Personal health plays a major part in our life. With increasing age, the cost associated to health also increases. Medical insurance premiums are common in every house as every individual these days plan themselves for a secured life and protect themselves with medical insurance plans. Also, life insurance premiums are included in this part. The routine doctor fees or amount spend on medication and treatment is also captured in this section as monthly health-related expenses.
A major chunk of budget for all households in the US/UK is generally allocated for travel. They love traveling and exploring places and thus this should be a major part of their expenses for the household.
All insurance-related expenses should be captured here and this forms a mandatory part of the household expenses for future security and planning.
Here in this section, any amount spent over gifts or donations is captured. It is common in our lifestyle to attend occasions where we gift the recipient as a token of appreciation. A certain amount is always spent on this and should be a part of our monthly budget. Also, people, these days donate for two reasons. One who is genuinely donating to help others and the other one is to get tax exemption people every month to allocate a certain part of their earnings towards donations to get exempt from a higher tax bracket. Thus these scenarios are must to include in our monthly budget template.
Finally, when all the expenses are captured any miscellaneous expenses left are captured here. This also includes the postage related expenses and other petty expenses which can be noted down on a monthly basis. This is the final section of our monthly household budget template.
How to Use This Template?
The home budget template manages the household expense and income of every family. The basic aim of using the template is to capture the entire income source available for a family and match it with all the expenses which a family has to bear on a monthly basis. This includes both recurring and non-recurring expenses. The resultant obtained or the difference obtained is compared with a set budget amount which has been set at the start of the month and finally we arrive at a net. The template is very effective when one needs to know the cash inflow and outflow in a family.
This has been a guide to a home budget template. Here we provide you with a free downloadable home budget spreadsheet to decide the route to manage the household finance. Also, you can download and use this template in Google Sheets, Excel or in PDF format.
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