Savvy Saver Tips
from KEMBA Financial Credit Union
Financial advice on how to manage your money wisely. www.kembasbiggestsaver.org
How to Create a Household Budget
Thousands of people are in money trouble. The • Set spending limits on expenses. You must set
reasons for their problems are many and varied, goals on reducing your expenses. Decide on what
but frequent problems are a lack of budgeting. you need vs. what you want. If you are married,
Many problems could have been avoided if they you and your spouse must agree on what to
would have planned ahead and lived within a spend.
budget. Simply put, a budget is your household
spending plan. You determine your income and • Review your budget frequently. We recommend a
expenses and then set spending goals for those monthly budget review. This will help you determine
expenses. what is working and what is not.
Here is how to get started: Make sure your goals are realistic. Don’t set your
• Find a budget form or example you like. You expense reduction goals so high that you will get
can ﬁnd examples in personal ﬁnance books at discouraged. Also, you should look at all your
the library, on-line at many ﬁnancial websites, or expenses.
we have forms available. This will be your primary
budgeting tool. You want a form you understand For example, can you reﬁnance your mortgage at a
and can work with. lower rate? Can you reduce your food bill? But
above all, decide you are going to stick with it.
• Record all sources of income. Make sure you
use your take home pay. Source: CCCS
• Track expenses for one month. You must track About Source: Consumer Credit Counseling
all expenses. Most people are surprised on what Service (CCCS) has helped thousands of people
they spend on certain items over the course of a learn to manage money, balance their budgets,and
month. get out of debt through comprehensive personal
ﬁnance education and credit counseling.
• Set your goals. What are your short, medium,
and long term goals? Getting out of debt? For more information on this article, please contact
College education? Retirement? Having goals will CCCS at www.cccservices.com or 800.355.2227.
help you determine how much you cut out of your
555 Ofﬁcenter Place P.O. Box 307370 Gahanna, OH 43230
614.235.2395 fax 614.338.3542 800.282.6420 www.kemba.org