Hey everyone, Shana and Vanessa here from the Financial Coaching for Women podcast, and today, we’re diving headfirst into May’s budget! Yes, we’re a tad early this month, but for a good reason—April paychecks are spilling into May, and we want to ensure you’re fully prepped and ready.
If you’ve been putting off your budgeting, now is the perfect time to get started, and we’re right here to guide you through. So grab your notepad or hit up our one-page budget template at budgetbesties.com/budgettemplate. Ready? Let’s wrap up April with a neat bow and charge into May with clear goals!
241 | Make Your May Budget: A Step-by-Step Guide + All The Extra Things To Plan For In May – Financial Coaching for Women: How To Budget, Manage Money, Pay Off Debt, Save Money, Paycheck Plans
Wrapping Up April
First things first, let’s close out April effectively. It’s crucial to compare your planned expenses against what actually transpired. This reality check helps align your finances perfectly for rolling into May. Remember, the last paychecks of April are pivotal—they’re funding your May. Make sure every dollar is accounted for in your upcoming month’s budget.
Setting Up May’s Budget
Income First
Start by jotting down all expected income for May. Whether it’s from a side hustle, garage sale earnings, or even a bonus, ensure every dollar is noted. This also includes any anticipated tax refunds—put them into the budget, ladies! Seeing the full picture helps strategize better. And be aware–those last paychecks from April (the 19th or 26th) might actually be the FIRST paychecks for May. This is how we get AHEAD!
Address Your Debts
Next, list all your debts—minimum payments only. You might be tempted to pay more and add it in now, but wait! Fill your entire budget out first and then we’ll see how much extra on debt you can afford to pay!
Bills, Bills, Bills
It’s time to list out all the bills- these are things you’re billed / invoiced for monthly. When listing your bills, distinguish between wants and needs. This ensures you know what’s essential and what could potentially be adjusted. Make sure to include every bill, even those sneaky subscriptions or intermittent expenses like kids’ gymnastics.
Discretionary Spending
Here’s where it gets personal—your spending habits. This includes groceries, gas, and yes, those little treats like dining out or a new haircut. Understanding your discretionary spending helps you manage it without cutting into essential funds. If you’ve done a 90 Day Review, GREAT! You have a good idea here. If you haven’t, it’s best to slightly overestimate these rather than planning to be super frugal (and then having to borrow money from other categories later).
Savings Buckets
If there’s any money left over, let’s funnel it into savings buckets. Start with an emergency fund and then consider annual bills like insurance or HOA fees and maybe even start a Christmas fund. Planning ahead eases financial pressure throughout the year.
Extra Tips for a Hefty May
May can be a monster of a month with graduations, recitals, and various celebrations. It’s essential to budget for gifts, travel, and special occasions. Think of ways to systemize and simplify—like setting a standard amount for graduation gifts tucked inside a thoughtful book.
You can also look now to see how much extra you can truly plan to pay on debt and then plug that in your budget.
Act on It!
Now, sit down with that budget template and plan out your May. Discuss it with your spouse or your kids, making it a collaborative effort. Remember, a solid plan today leads to a stress-free month
And don’t forget, every step you take in budgeting empowers you to make smarter financial decisions, aligning your spending with your long-term goals. Stay tuned for more tips, and until next time, happy budgeting!
Want to Dive Deeper?
- Print Our Budget Template
- Listen to the podcast – Check This Out
- For personalized advice, consider signing up for our group coaching sessions – Learn More Here
Happy budgeting, and here’s to a financially savvy May!