A budget can be a great aid in getting your finances in order. Knowing what other people are including in their finances can help you make sure you are not being penny-pinching anywhere.

When I began my budget, I learned a lot from other example budgets about what exactly should be included. For that reason, I am sharing a sample budget to help you include all the items the first time. This is very helpful to avoid overpaying for overlooked expenses that can ruin your budget.

Why budgeting is important

If you are wondering why you need to establish a budget, the reason is that it helps you stay on course toward long-term goals. Beyond assisting you to reach long-term financial objectives, a budget can help you refrain from wasting money on things that do not matter to you most. Essentially, it can assist you with prioritizing your wants vs. needs.

Plus, a budget can allow you to afford to stretch until the next payday. With a solid budget in place, you may feel better about your finances as you make your way through them.

Example of a budget

One of the best ways to learn about budgeting is by looking at an example budget. Using this example budget, I’ll show you how to set up a budget outline for a $46,000 annual salary.

Here are some example classes of expenses and estimated costs, along with a description of each charge that can be added to a spreadsheet.

These fees can fluctuate depending on your income, your living situation and your financial obligations. The objective of an illustration budget is to provide you with a basis from which to set your own expenses.

Because you plan your budget, remember to include your variable expenses (which change monthly) and your fixed expenses (which are unchanging).

Rent or mortgage payment

If you live in a rural area, you may need to pay more than $1,000 monthly to meet your housing needs. Depending upon where you reside, you may pay more or less than this amount to live in a safe location. One way to reduce costs is to reduce your living area.

Home expenses

Beyond simply paying for a rent payment or mortgage, residences often incur other expenses such as utilities and trash removal. If possible, try to estimate the extra expenses of a house or apartment before moving in. You don’t want to be saddled with excessive utility bills that cause you too much financial hardship.

Home repairs

Unfortunately, properties may require repairs when you least expect it. As a homeowner, you cannot call your landlord to repair a leaky faucet. Rather, it is your responsibility to pay for the work.

This is why it is important to include money for your home budget to take care of home repairs. Of course, you won’t incur a major home repair problem every month. But when there is a problem, it is important to be prepared. In this case, a sinking fund can be helpful.

Car insurance

If you own an automobile, then you must consider one of the costs you might be responsible for is car insurance. Fortunately, you can find a deduction on car insurance by browsing different providers and evaluating prices. Check out these other ways to save on car expenses.

Health insurance

Health Insurance Is a Costly expense. If You’re Working, Your Employer Might Provide Coverage for Health Insurance Costs. If you have questions about available plans, contact your human resources representative. Even if you have a full-time job, you can pursue opportunities in the healthcare market.


While you do not have to pay for interest access at home, it has become an integral part of our lives. Not only will it keep us entertained, but it will also allow us the flexibility to work from home.

Phone bill

That can amount to $40 per month for my mobile phone service. But that figure can vary considerably depending on the phone and service provider.

Gas and tolls

Your spending on gas and tolls will vary widely depending on your commute. Consider how much you actually spend on gas and tolls every month.

Car maintenance

Automotive maintenance can be costly. While car maintenance costs such as oil changes are necessary, other expenses, such as replacing tires, can throw a wrench in your budget. I recommend you set aside a fixed amount every month for the inevitable car maintenance that will arise.


Food costs can add up quickly. Depending on your budget and location, food prices can be a major expenditure in your budget. Although there are ways to save money on food expenses, there is no way to completely eliminate them. One way to reduce costs is to try meal planning. I’ve used this method to save money on groceries every month.

Pet needs

Because our companions need more medical care than the average person, they have a higher cost. If you are going to adopt a pet or already have one, you need to account for their needs in your budget. Some expenses may include food, shots, vet visits, medications, and toys.


If you love to give gifts, include this to the expense. Depending on the type of gifts, you might need to have more space in the gift budget.


Don’t forget to include taxes in your budget. While taxes are easy to forget to include, you’ll need to include them in your budget. You can learn about how to calculate your post-tax income in our complete post.

Emergency fund

An emergency fund can provide financial security by serving as a buffer for unexpected situations. But you’ll need to pay into it month after month until you get to your funds goals. To learn more about creating an emergency fund, visit https://t.co/2QwNr9rfY.

Retirement fund

We want to retire at some point. Whether you want to retire early or later in life, you’ll need to start saving for retirement as soon as possible. Saving for your retirement every month can enable you to leave your job the day you retire.

Extra debt payments

If you have debt like credit card bills or student loans, then paying off that debt as soon as possible may be an important economic goal. With that in mind, you can set aside any amount extra to get started paying off your debts faster. Use our free online course to permanently eliminate your credit card debt.

Homeowners or renters insurance

Whether you own or rent, it is a smart idea to pay for additional insurance. Homeowners are often required to have a homeowners insurance policy. If you rent, it can be worth the small fee to ensure your stuff.

Budget To Help You Craft Your Own
Budget To Help You Craft Your Own

Medical, dental, and prescriptions

We all have medical and medical expenses throughout our lives and also have to purchase prescriptions on a monthly basis. Since your situation will influence the cost of treating you, it is imperative that you include your expected costs in your budget.


Some of us pay for subscription services such as Netflix or Disney+ for entertainment. We may also be paying for a gym membership. Please budget for these monthly fees in your budget.


Toiletries like hand soap and shampoo may cost you a small amount, but they should be included. Aromatic toiletries can be quite costly if you do not monitor them. Small amounts can add up to significant expenses if you don’t stay on track.

Personal care

Personal care may include shampooing your hair and caring for your nails. Anything related to keeping you healthy and maintaining a good appearance may be included in personal care.


The price of childcare is typically very expensive. In the state of Florida, the average childcare price is just over $600. Wherever you happen to be living, it is likely necessary to make monthly payments of around $100.


Hobbies are enjoyable activities that you can pursue at your leisure. You can set aside a monthly budget for your hobbies. You can also find free activities like hiking or walking at a nearby park.


Generosity is a fantastic quality. I recommend leaving some room for your generous nature in your budget.


Most expensive time of year, but subsidised donations make it possible to spend less during the holidays.

Fun money

Having a little bit of “fun” money set aside for spontaneity allows for more enjoyment and freedom. If you want to go on a day trip or want to upgrade your wardrobe with a new outfit, having a bit of fun money makes it easier to stick to the budget.

Should your budget look different?

Every budget will differ slightly. Although the basic costs from this example of an expense list will still be there, you’ll need to make adjustments to reflect your circumstances and priorities. For example, you might include a life insurance premium into your budget to cover your dependents. If you need help creating a personal budget, then check out our free financial training.

Leverage this example of a budget for your success!

A budget can help you achieve your financial goals and improve your spending habits. Use an example of a budget as an example when creating your own financial plan. Here’s to creating a successful budget!


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