Using the Budget Calculator
Convert annual and irregular costs into monthly allowances before adding them to a category. Insurance renewals, repairs and occasional travel can otherwise make a budget look more comfortable than the year actually feels.
Worked example
Use the example inputs below to reproduce this result. These are the form's starting values, not recommended targets. Changing your inputs updates your result above; this worked example stays fixed for comparison. Results are rounded for display.
Example inputs
- Monthly take-home income
- 5000
- Housing and utilities
- 1500
- Food
- 600
- Transport
- 400
- Debt payments
- 300
- Other spending
- 500
Example result
- Total expenses
- 3,300
- Available for savings
- 1,700
Method and assumptions
Subtract monthly expenses from monthly take-home income. Use the same currency throughout.
Use a consistent budget period
Convert income and expenses to the same period before comparing them. A weekly expense is not simply a monthly expense divided by four across a full year. Keep gross and take-home income clearly labeled, and reserve space for irregular costs. The result reflects the entered budget rather than every commitment a household may have.
Common question
What does a negative savings amount mean?
The expenses entered exceed take-home income for the month. It indicates a gap to address by changing spending, income or the timing of obligations rather than money available to save.
Guide updated .