It just keeps getting better, my day that is. I stumbled upon this nifty tool which is a budget calculator which I thought would be interesting to see what it came up with.
Heres what I learned about my budget without going into money details with you:
1- Housing. I spend too much money on rent (somehow I dont think the landlords will agree tho). Apparently only 30% of my income should be going to this cause.
(Note: this includes a mortgage, lease, taxes and insurance)
2-Transportation. According to the chart the calculator politely displayed, I should be spending 18% on transportation, which at a quick glance, I think I spend less than that. Thats the good point (of course I spend less on transport, i make up for it in rent & contents insurance)
(Note: this includes public transport, rail cards, car insurance, parking, maintenance, gas /petrol)
3-Debt: this is wrong wrong wrong. I SHOULD be spending 10% of my income on debt... Im sure its higher than this.
(Note: if you live debt-free, it says you should put the dollar figure on the chart into your savings account. YEAH RIGHT!)
4- Food: I am to spend 14% of my income on food. That amazes me that I am supp to spend more on transportation than I do on food. Maybe its because we have many dinners out at restaurants, or as part of a social environment. Then, it informs me that this includes toiletries as well. Has anyone seen my "Collection" of hair supplies? Yikes... I def blow this category over 14%.
(Note: as food prices go up you will see that it becomes harder to keep this expense flat. This also includes toiletries and other items used on a daily basis.)
5- Household: Energy, phone, cable, heating / Air Conditioning. This category is 7%. Possibly the most nearest to what I spend so far.
6- Savings: 10%. Right! It says you can use this for short-term items like vacations or longer-term goals like retirement. My usage is def short-term.... as in NEED TO HAVE IT NOW. Im sure my bank has a spending account, rather than a savings account.
7- Everything Else: 11%. Charity, clothing, childcare, additional medical costs. The chart tells me to make room for the unexpected. How about the unexpected of not getting enough pay each week? Yikes!
Im going home to eat noodles. I have to start minimizing somewhere. Oh, and after looking at my finances this weekend, I have decided there is no way possible to come home to the states in 09 for a holiday. I just dont have the cash. Now, after seeing this chart, I am beginning to understand why.
Its interesting, go have a look, but be aware, it could make you cry.
- I am a girl/woman/human who has random thoughts. Sometimes you can find me here rambling, other times i might have useful stuff to say. For the most part, my friends and family can see what I might be up to in the days events. Or, for sake of sakes, its all made up... only i know.. and MAYBE a select few of you! Either way~ I am an American living in Australia. Oh, and any photo you see on this blog IS NOT FOR YOUR USE. If I have taken the photo myself or have permission to use it, YOU CAN NOT USE IT FOR YOURSELF. So be warned... and just dont use my damn photos.