Budgeting for Dummies

Yet another year has gone by and once again I have done no saving! Every month I have scraped by and I don’t even know where all the money went. I’m 24 now and I rent a house with my boyfriend. If I ever want to be able to buy a house or go on more than a cheap late deal holiday I am going to have to get my act together.

This year things have changed. Our rent went up, neither of us will have any over time, Luke had to repair his car a couple of weeks ago and I started driving lessons. We are just coming to the realisation that we need to make an effort to save money and all at once reasons that we can't have sprung up.

I entered this year expecting that we would go on holiday. Boyfriend usually gets a lot of over time in the summer and for the past few years that and the small bit I have saved goes towards a Late deal. We have time booked off for the end of August so it was time to get serious and a few simple steps have really helped us see that we could save so much more money a month.

SPREADSHEET BUDGET -
I have the next few months mapped out. How much my wage will be and all of the monthly bills that must be paid every month. I am then left with a figure to spend on Food and anything else important…I’m actually surprised at how much is this (I always expected it was more). I am awful at spending on meaningless things and having nothing to show for it. With it all mapped out I can see what I have and where it is all going. I have managed to save more in the last 2 months than I ever have just because I am aware of exactly of what is going out of my bank and where it is going.

MONEY POT -
I really need one that doesn’t open as I have dipped into it a few times, but there is always spare change laying about the house and now this is where it goes. Its slow saving but without that money in my purse I'm not tempted to but a fatty lunch while I'm at work (so it's both healthy and sensible!)

DO NOTHING - (unless it is already planned)
Like I said. The aim is to afford a holiday at the end of August. We have a few things planned this summer so there is no getting out of spending some money. But its been put in the budget. The rest of the time we are strict hermits. Nothing but nights on the sofa watching TV! Of course this isn’t good for long term saving because you want a social life but the next 3 months (other than the few things that are planned) I am locking the front door and staying in (NO TAKEAWAYS EITHER)

Obviously I am no expert. But from someone who has never been able to save up in her life I’m quite impressed with myself. So if you're as bad as me try writing it all down, so simple but it has helped me so much!