Out-of-whack

Are you budget percentages out-of-whack? Do your expenses look something like this:

Expenses %
Credit cards44%
Housing28%
Food15%
Utilities15%
Transportation15%
Other10%
127%

When in fact they should look like this:

Category Recommended %
Tithe & Charitable Gifts10-15%
Savings5-10%
Housing25-35%
Utilities5-10%
Food5-15%
Transportation10-15%
Clothing2-7%
Medical/Health5-10%
Personal5-10%
Recreation5-10%
Debts5-10%

If you’re percentages are out-of-whack, then you need to start adjusting them. If you cannot make your budget balance, then you either need to increase your income or decrease your expenses.

Balancing a budget means ending with zero after you subtract your expenses from your income. If you end up with a positive number, then you can use this extra money to pay down your debt faster or to increase your emergency savings. Conversely, if you end up with a negative number, then you need to decrease your expenses or increase your income. There simply is on other way to balance a budget.

 

 

 

 

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The Increase

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And the man increased exceedingly, and had much cattle, and maidservants, and menservants, and camels, and asses.

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