How to make a budget

Why is a budget important?

• Without a budget, you are financially blind as it's more difficult to track where your money goes.
• You’re more likely to live from one payday to the next.
• If you’re unsure about what you can afford, your financial situation is more likely to be a source of stress.

What are the benefits of having a budget?

• Having a budget is the first step towards achieving financial freedom.

• You will have a better understanding of your spending habits.

• You will have more control over your finances.

• You’ll be able to make smarter plans for the future.

How to create a budget

1. Know where you money is going. Keep a spending diary for a first few weeks and write down everything that you spend your money on. Your diary will give you a clear record of where your money is going.
2. When you’re ready to create your budget, download our budget template and add in your details. You will be able to quickly work out what your expenses are compared with your income. Next, prioritise where you want your money to go by focussing on your needs first.
3. Review your budget – if your expenses are greater than your income you will need to prioritise where you want your money to go by focusing on your needs first.
4. If you need help, you can contact the National Debt Helpline on 1800 007 007. A financial counsellor will work with you to help you create your budget. This service is free.