Budgeting...

So I started an excel spreadsheet of fortnightly budgeting and have been doing it for about 2 months.

I've come to the realization that it's relatively pointless.

I have multiple suffixes within my bank account:

- everyday spending
- fun/travel spending
- bills
- savings/investments

I divide my income into each paycheck. So I'm wondering why I even need to do the excel spreadsheet if I'm dividing the paycheck into the 4 accounts anyway. I started it because I thought I'd gain some benefit. But the more I think about the usefulness of it, I can't really come up with an explanation.

Do you do something similar to me with bank accounts, excel spreadsheets, etc?

ENP said:

So I started an excel spreadsheet of fortnightly budgeting and have been doing it for about 2 months.

I've come to the realization that it's relatively pointless.

I have multiple suffixes within my bank account:

- everyday spending
- fun/travel spending
- bills
- savings/investments

I divide my income into each paycheck. So I'm wondering why I even need to do the excel spreadsheet if I'm dividing the paycheck into the 4 accounts anyway. I started it because I thought I'd gain some benefit. But the more I think about the usefulness of it, I can't really come up with an explanation.

Do you do something similar to me with bank accounts, excel spreadsheets, etc?

Click to expand...

I have always operated on what some people call a "claytons" budjet, which is similar to what you are suggesting.

Meaning you get you pay, split it up between spending and investing, and just spend to spending side as you see fit. I have never had the patience or seen the need to break the spending right down to smalle items such as food, clothing, entertainment.

i just put 50% of my pay into my investing account and the other 50% gets spend where ever I feel like.

Tysonboss1 said:

I have always operated on what some people call a "claytons" budjet, which is similar to what you are suggesting.

Meaning you get you pay, split it up between spending and investing, and just spend to spending side as you see fit. I have never had the patience or seen the need to break the spending right down to smalle items such as food, clothing, entertainment.

i just put 50% of my pay into my investing account and the other 50% gets spend where ever I feel like.

Click to expand...

I do the same as tyson.

I just have a standard everyday account that receives $x per week. That is what covers costs etc.

I know how much I spend on each item (eg $x per year for food), but to monitor it on a weekly basis is pointless, as long as my budget covers it, it really doesn't matter if I overspend 1 quarter and underspend the other.

Just make a budget that allows you to save AND enjoy yourself, that way you will stick to it. Most of us don't become millionaires in 2 years, and most of the wealthy people here would most probably sacrifice some of that $$ to regain some of their time to enjoy themselves.

Edit:

Ok WORDS OF WISDOM from an old fella.

You have 2 choices to save you lots of money in the future.

1. Spend 2 hours per week doing a budget and saving really well.
2. Making a claytons budget (2 hours per year) and going for a walk/out for dinner for 2 hours per week with the Mrs.

I know which one is the best insurance policy

If you do a budget you may notice that some expenses are unreasonable so you can decrease them, leaving extra money for the investing category.