Example of a Budget
Income
Net Salary R __________
Plus Other Income R__________
Total Income R__________
Expenses
Rent / Bond R__________
Groceries R__________
Transport R__________
School Fees R__________
Telephone R__________
Insurance R__________
Loan Repayments R_________
Other R__________
Total Expenses R__________
Income less Expenses R__________
The Importance of Financial Planning and a Budget
- Identify how you spend money.
- Know the difference between luxuries and necessities.
- Make a list of what is absolutely essential that you pay for.
- Compare these expenses with your net salary (are you living beyond your means?).
- Save what you can! You cannot achieve your financial goals if you do not save every month.
- When applying for finance, rather take out a smaller loan over a short period. It is more manageable and quicker to repay.
- Pay your debt on time! If you cannot cope with existing repayments, make arrangements with your lenders.
Do not stop paying. This will have a negative effect on your credit record.
Expensive legal expenses are added to your account once handed over to a collection company and/or attorneys. - Set a monthly budget and stick to it!