With the year coming to an end, it’s time to start thinking about New Years Resolutions. For many, this chaotic year was filled with ups and downs. That is especially true when it comes to the job losses and salary cuts many have experienced.
Needless to say, a great resolution for 2021 is learning how to budget.
So, how do you create a realistic budget? One easy way to get started is by using a budget calculator. Lucky for you, there are some awesome online budgeting calculators to help you get started.
The 50/30/20 calculator helps you divide your income into three categories. 50% for needs, 30% for wants, and 20% for savings and debt repayment.
When many begin the budgeting process, they’re unsure where to start and set unrealistic expectations. So, separating your income into three distinct categories helps you visualize where your money needs to go in a more realistic and manageable way.
Calculator.net helps calculate and plan for personal financial goals. With this calculator, you’ll need to input specific numbers like how much you pay for rent, gas, parking, and tuition.
Using this calculator helps you see what you’re spending in individual categories to better understand how much money you need for your expenses. It also enables you to paint a better picture of where you can cut costs.
For example, if you’re spending $600 a month eating out, but are having trouble putting money into a savings account, this could be a good place to cut your spending.
This calculator allows you to break down your spending into different categories so you can see where all your money is going. Once you know this, you can reallocate funds to savings and bills while still allowing some money to be spent on fun extras.
In addition to the three online budget calculators listed above, there are much more available online. So, if they aren’t a perfect fit for your budgeting needs, don’t worry — there’s a calculator for you too!
Always remember when starting to budget, nothing changes overnight, and you’re going to need to stick with your plans long terms to see a real return.
Have questions about budgeting? Many banks offer free services to help get you on track and answer any questions you may have.