Sample Monthly Budget

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This is a response to Cherry123’s question about a financial plan. It is extremely expensive to live these day, so I have come up with my version of a monthly budget for a single person.  Our ability to save is based on the choices we make. If there is more than one person in your household, adjust the numbers accordingly. Feel free to let me know if I have left out any expenses. These numbers are not carved in stone as every situation is different.    
  • Sample monthly budget for a Single Person (with no kids.)  
 
  • Monthly Income
  • Take Home pay (after taxes)                           $2,000
  • Monthly Expenses & Savings
  • Mortgage/Rent                                                  $700
  • Food and Household items                               $225
  • Utilities (Phone, Internet, Cable)                       $275
  • Auto (Car Payment, Gas and Insurance)          $350
  • Entertainment / Misc                                         $150
  • Savings                                                            $300
  • Total                                                               $2,000
  •   Summary  
 
  • Mortgage/ Rent:  Payment for housing generally should be right around 32-38% of take home pay.  If it exceeds these percentages, you have to be willing to cut back other expenses. For ex: Entertainment etc.
  • Food:  I used $225 in this example assuming that you bring lunch to work a few days a week. By bringing lunch just 3 days a week, I save $96 per month. I figure a single person can make it work with $225 per month if you spend it wisely.
  • Utilities:  This includes your cell phone, home phone, cable, internet, gas and electric. In this category, the cell phone bill will eat up most of the budget. Many people are now using smart phones. I personally don’t have one. I don’t need it. If you can afford to go without a smart phone, you can trim an average of $40- $50 off your cell phone bill.
  • Auto (Car payment, Gas and Insurance) : It would be ideal if your car is paid off, then there would be no car payment. If you are leasing a car (I don’t really recommend it,) a reasonable lease payment amount in this case would be $125 per month or lesser. This will leave you enough for gas and insurance.
  • Entertainment:  I didn’t designate a lot for this because I believe this is one area that we can all afford to save on.  There are lots of coupons for entertainment. I do love to shop, especially on DP, so that’s an area that’s a challenge for me. I cut back on my weekly entertainment expenses and accumulate it in a vacation fund.
  • Savings:  I have designated 15% here for savings. I don’t know if it is too high or too low. Every month, I learn to cut back on expenses where I can to increase my savings.
lilywow posted Jul 18, 2012
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9 Comments
YesBoss
Looks like you Are Paying Too Much For Phone,Internet Cable
YesBoss (rep: 30.9k) posted Jul 18, 2012
30
gangstabarbie
i don't do any form of entertainment. i barely go to the movies or go bar hopping etc. i like to save that and spend it on my puppy.

thanks for putting this together but you gotta get on the smart phone band wagon (iphone)! or that will be soooo 15 minutes ago =P
gangstabarbie (rep: 9.67k) posted Jul 18, 2012
30
rd995
this also depends in the area where you live if you live in a major city then it will be higher compare to other places
rd995 (rep: 106k) posted Jul 18, 2012
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MdavidK30
Dave RAMSEY is a radio talk show host personal out in Atlanta, who discusses every day about tightening your budget, learning how to work your finances to work for you.
He explains how to create a daily budget and which things are needed the most for your regular daily life.
He teaches how to make payments off of any debt you may have, and how to avoid bankruptcy.
He yells at those who are making bad financial decisions, and congratulates those that are DEBT FREE and encourages those to SCREAM with all their might, that they are DEBT FREEEEEEEEEEEE!!!!!!
Listen to him! Here is his website.
http://www.daveramsey.com/media/flash/elearning/drive-free/player.html
MdavidK30 (rep: 3.56k) posted Jul 19, 2012
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charonne2012
This is a realistic sample budget. It also allows an allocation for savings which has become a real rarity.
charonne2012 (rep: 106) posted Jul 19, 2012
20
belarus94
700 mortgage or rent? Where is that, Oklahoma? My mortgage is $3k/mo. The rest can flex.
belarus94 (rep: 63.2k) posted Jul 19, 2012
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piginthecity
Would like you to know about how I was able to save money..
I've been using this since my friend introduce it to me and
would like to share to you as well..Try saversclub.us
It really help me a lot..Hope you could try it as well and
see for yourself..
piginthecity (rep: -2) posted Jul 24, 2012
01
rainday
When you draw up the budget and list all the bills and expenses you pay every month, determine which ones are needs and wants.
If you do this, you will learn the hard way that spending must be done within a budget
rainday (rep: 15) posted Jul 26, 2012
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