How tight is your monthly budget and how long have you been doing it for?

[PeeluckyDuckee]

A discipline which I'm obviously lacking due to irresponsible use of credit. Paying for that now. Did some refinancing and at my new rate I'll have paid off most of my debts in 5yrs time. So by 30yrs old I can seriously start looking at RSP contributions.

Already made necessary cuts wherever possible for the time being. After all fixed and variable necessary expenses are covered, I'm left with $200 for personal use.

What I spend on usually is coffee at work everyday and weekend lunches. Perhaps $40/mnth for entertainment. The occasional family dinner out where I pay. Then the rest going towards RSP contribution.

The only source of extra income would have to come from volunteer overtime hours at work and the quarterly/annual bonus, which amounts to about $3000/yr.

I can free up another $50/mnth in fixed expense if and when I do pay off my residual $800 in student loan and when my cell phone contract is up in June, then I switch over to the pay as you go plan.

Like others have said before, my vehicle is the biggest expense item and I'll see about ridding of it this summer for a used ride as well.

Just wonder what other people's budget look like and how far you can go with what you have to work with.

I've never ever before set a budget for myself. Hope I can stick to the plan and have the discpline to work things out.

 

[randomlinh]

GL my friend!

 

[imported_Mike]

Originally posted by: lnguyen
GL my friend!

 

[Daishiki]

:thumbsup:

 

[Ameesh]

i have a little more then $2K to playu around with, i usually just put half into extra savings and toys and stuff for the other half.

 

[SacrosanctFiend]

I live paycheck to paycheck. College sucks all my money away.

 

[pinoy]

more power to you!!!:beer:

 

[PolarNorth]

after fixed living/food normal standard of living, I am left with $1200, ALL of which goes to paying down credit card debt (last month and I am free!). So far no savings, but my goal is 1000 a month starting Jan when my credit cards are paid.

So your not the only one, I will be at around 200 a month along with you

 

[AmigaMan]

How much more do you have on your current vehicle? If you only have a year or so left, I'd just continue paying on it. Now if you're more than that, I would get a cheap used car that you can pay cash for. You should also try the envelope system. You put all of your expenses in envelopes and use only cash for your purchases. So for gas, you'd estimate how much you spend per month on gas and put that much in your "gas envelope" at the beginning of the month. Then when you fill up, just pay cash. For your coffee fund, again estimate how much you'll spend and put it in the "coffee envelope". If you run out, then you can't spend any more money. Sounds hokey, but it helped me when i was trying to get out of debt a couple years ago. I did it for about 6 months and stuck to it religiously and it worked.

 

[40Hands]

Ok enough of the sexual innuendos in thread titles. Don't try to play it off like it was an accident!

 

[lobadobadingdong]

GL, I'm in the same boat, except I only have about $80 a month disposable money.

 

[FrustratedUser]

I've got $2k to play around with every month.

 

[Beattie]

I spend under 200/month easily on food/gas/personal stuff. It's easy.

 

[dullard]

My thoughts:
1) Take the extra income. A few hours extra work here and there won't kill you. Then looking at your numbers you have $200 + $3000/12 = $450 a month in "fun" money. That is $450/30 = $15 a day. $15 a day in fun money is VERY easy to live very comfortably on. There is no reason you should feel that this is difficult.

2) Most people who say they "Already made necessary cuts wherever possible", are in fact wrong. There are always more cuts possible. Random examples: An $0.08 ramen noodle meal costs a lot less than typical meal, even if you cook yourself. $20 shoes can last 2-3 years if you just don't care that they look scuffy. Heck, no you don't need ANY more clothes for the next 2-3 years. Your thermostat can be adjusted 2 degrees and barely be felt. $1 Suave shampoo works just as well as other $10+ shampoos. Etc.

3) The key in a tight budget is "delay". For example: suppose you normally get your hair cut every 4 weeks at $20 a pop. You can still look good getting a haircut every 5 weeks instead. Net savings $52 a year. Typically watch movies at $8 a pop? Try waiting a month and watching the movie in the $2 theater. Spending too much on computers/games? Buy the exact same components, but just 3 months later than when you originally wanted to. Eat the Chineese buffet on a weekday instead of weekend (usually saves almost 50%). Etc.

I did the tight budget for many years as poor married college students. It really isn't that bad.

 

[austin316]

$40 a month on entertainment? You can't even afford to go out for drinks and a movie on that kind of budget.

Right?

Movie
$9 Movie Ticket
$7 Popcorn and Pop
=$16 Movie for One

Bar
$7 Appetizer
$15 (3 drinks)
$3 Tip
=$25

Total = $41 And thats one night, not a months worth. Plus, I know I drink alot, but 3 drinks for a whole night out is not alot.

 

[GprophetB]

Originally posted by: SacrosanctFiend
I live paycheck to paycheck. College sucks all my money away.

 

[mugs]

I have a lot of "disposable" income, but everything I'm able to save between now and next summer will go toward a down payment on a house. So I still live like a poor college student.

 

[mugs]

Originally posted by: austin316
$40 a month on entertainment? You can't even afford to go out for drinks and a movie on that kind of budget.

Right?

Movie
$9 Movie Ticket
$7 Popcorn and Pop
=$16 Movie for One

Bar
$7 Appetizer
$15 (3 drinks)
$3 Tip
=$25

Total = $41 And thats one night, not a months worth. Plus, I know I drink alot, but 3 drinks for a whole night out is not alot.

Try the "play at home" version:
$1-4 movie rental
$1 popcorn and soda
$3 do-it-yourself meal
$3 (3 drinks)
$0 tip
= $8-$11

And I'm assuming that if someone has only $40 a month in discretionary income, they've already accounted for food. Otherwise you're looking at a lot of Ramen.

Edit: I see he did mention the occassional family dinner out where he pays, that would probably eat up the majority of his $40 for that month. But $40 a month for entertainment is not difficult.

 

[dullard]

Originally posted by: mugs
Try the "play at home" version:

Yep that is the mindset you need to have. Austin316, you need to think more creatively. Mugs' version is the same entertainment type, same friends, same drinks, same amount of fun. But 1/4th the price. Possibly depending on your friends Mugs' version may even be more fun.

 

[puffff]

Originally posted by: mugs

Originally posted by: austin316
$40 a month on entertainment? You can't even afford to go out for drinks and a movie on that kind of budget.

Right?

Movie
$9 Movie Ticket
$7 Popcorn and Pop
=$16 Movie for One

Bar
$7 Appetizer
$15 (3 drinks)
$3 Tip
=$25

Total = $41 And thats one night, not a months worth. Plus, I know I drink alot, but 3 drinks for a whole night out is not alot.

Try the "play at home" version:
$1-4 movie rental
$1 popcorn and soda
$3 do-it-yourself meal
$3 (3 drinks)
$0 tip
= $8-$11

And I'm assuming that if someone has only $40 a month in discretionary income, they've already accounted for food. Otherwise you're looking at a lot of Ramen.

Edit: I see he did mention the occassional family dinner out where he pays, that would probably eat up the majority of his $40 for that month. But $40 a month for entertainment is not difficult.

are you single? married? dating? $40 a month for entertainment is doable, but i think it'd be hard to go out with friends or on dates on that budget.

 

[JeffreyLebowski]

I was unemployed for a year. I can show you many ways to save money. BTW. I can't stand Ramen any more. You don't need to drink sodas. Drink water. If you must have flavor, get the store brand kool-aid.
Don't buy name brand. Buy store brand. It is the same as name brand but substantially less. That $2 loaf of bread can be had for $1 in the store brand. I save money in hair care prducts and hair cuts by shaving my head.
If you shop smart and live smart you can free up a lot of money. The thermostat thing is true. Also with your fridge turn the temp up a few degreeze. Your water heater(if electric) doesn't need to be set all the way up. If you cut down your cooking and ate foods that didn't need cooking you can save money there.

Yor biggest electric users:
A/C Heater
Stove/Oven
Fridge
Washer/Dryer
Microwave.

 

[Elbryn]

why wait until summer to look to get rid of your assumed several hundred dollar a month ride for a paid off used one? if you free up that money, you can pump more money into the debt reduction. Work those extra hours, dump the entire 3k extra towards the highest interest debt. Do the same with your tax refund.

things you can do to reduce expenses:
1) kill cable
2) start using the library for books/dvds as entertainment
3) pack lunchs, stop paying $5+ to go out
4) entertainment- get a cheapo dial up line, get world of warcraft or equivalent. get hooked and pay 15 bucks a month for your wasted time. did this in college.. worked out to 8.3 cents per hour 8)
5) look for a roomate

 

[mugs]

Originally posted by: puffff

are you single? married? dating? $40 a month for entertainment is doable, but i think it'd be hard to go out with friends or on dates on that budget.

Engaged, and my point was that if $40 is all you can AFFORD to spend on entertainment each month, it's certainly doable.