Tips to Ensure You Have Money Left at the End of the Month
If you are only paid once a month then you may be facing some difficulties in budgeting, however there are also advantages to being paid each month. For instance, when you are paid once a month, you can get all your bills out of the way at the beginning of each month, and so you do not need to worry about putting away money from all of your paychecks in order to afford your expenses, which allows you to pay all of your bills much more efficiently. On the other hand, it is also makes things tricky due to the fact that it is a lot easier to burn through your entire paycheck very quickly, which will leave you without any money before the month is over. In order to avoid this, it is important to budget accordingly.
Make Payments all at Once
If you are paid at the end of every month then you can take the time to pay all of your bills the second you have a paycheck in your bank account. It is much easier to do this at the beginning of each month, and will save you time due to the fact that you are dealing with all your bills at once. Keep in mind that it is also a good idea to set your cable and cellphone bills to the beginning of the month, as well as any bills that are automatically taken out of your bank account. This makes the entire process of paying your bills incredibly simple. The only problem you may run into doing this is with the bills that vary such as utility bills. However, you may have luck speaking to your utility company in order to see if you are able to change the billing date.
Set Money Aside
You should always be striving to set money aside every month into your savings account. This will keep you from having to live paycheck to paycheck, which can get incredibly stressful. Having a solid emergency fund to fall back on will put your mind at ease, especially if you are dealing with a monthly paycheck.
Create Spending Categories
The first step to budgeting is to create categories that you can designate your remaining paycheck to. This includes groceries, entertainment, clothing, restaurants, etc. If you find that you are spending way more money in one category than another, and are having trouble balancing your budget then you may want to consider splitting up your budget into weekly amounts in order to avoid overspending, and see exactly where your problem areas are. You may find that you need to cut back in one area in order to allocate more money into another.
Create a Spending Limit
The secret to spreading out your paycheck throughout the month and making it to the very end is creating a weekly limit to your spending and sticking with it. In fact, you should create a limit for each spending category in your budget, and ensure that you do not go over your limit in any category. It is also very important that you do not keep spending money in a certain category if you hit your limit. However, if you go over your limit in a critical area such as food then take money out of another less critical category such as clothing or entertainment. If you are still having difficulties with overspending then try using cash instead of a debit card, as this tends to help people not overspend.