Budget Your Month (+ Don’t Feel Guilty!)

Budgeting. UGH. One of my least favorite words in the English language. I’m the kind of person who will hear a great tip to save money, try it out, and miserably fail 3-4 days later. This has been my battle with budgeting for as long as I can remember. As a twenty-something living truly on my own for the first time in my life, budgeting was a harsh reality I had to face. Whether you’re wondering if you can meet rent next month or spending without a care, it’s SO important to budget in this time of our lives. My friend Lauren Byrne outlines this perfectly in her post about the 20-30-50 budget. This post changed my life — no seriously, it did. Ever since I put her methods into action, I haven’t looked back.

In short, here’s what the 20-30-50 budget is about:

  • 20% of your income goes towards your future goals and plans — think trips, furniture (we’re adults, right?!), the new iPad, your 401(k), whatever is in YOUR future.
  • 30% of your income goes towards YOU! You can spend that money however you want, and not feel guilty about it.
  • 50% of your income goes towards your essentials. This includes rent, groceries, and utilities.

When I started this budget, I realized that I don’t spend the entire 50% of my income on my essentials. So, I let myself split the remaining between my future and my fun. I also created a spreadsheet (+ Mint budget) to break the categories down even further. I was able to see that I could do everything I wanted within the budget + still be a responsible adult – what?! If you’d like to try out my budget, download my Google Spreadsheet template here. I’ve added a sample income, categories, essentials, and future expenses to give you a sense of how this works for me.

Screen Shot 2016-06-21 at 11.01.26 AM

My monthly budget template

Do you have suggestions for how you budget? I’d love to hear them! Now go forth feeling financially responsible + free!

6 thoughts on “Budget Your Month (+ Don’t Feel Guilty!)

  1. Lupe says:

    Thank you for sharing Mitra. I’m definitely going to work on this. But I think in my case the 30% will be going to kids and their sports and travel for those sports :-).


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