Re: QUESTION FOR WHYCHAT

Posted by observer (152.163.189.170) on August 27, 2002 at 09:26:48:

In Reply to: QUESTION FOR WHYCHAT posted by Deyae Petty on August 27, 2002 at 09:00:30:

I'll defer to Why Chat on the legal issues but, I can help with a budget.
First thing you need to do is get in a mindset that you are going to live below your means. It's not good enough to just break even every month. You need to put a coin or two in the bank as well.
Go get a compostion notebook with 3 sections. The first section is today. For the next 2 months, write down everything you buy with the price paid. The second section is yesterday. Get out at least 6 months of old bank statements and canceled checks or, your check register and account for where all of your money went. Break it down by category. Rent, utilities, phone, food, credit card bills, etc. The third section is for a real budget. Write down your take home pay on one side. On the other side of the paper draw up a list of monthly expenses. If you have more than one cc card then list that as a subsection with the balance and, the interest rate and minimum payment. Do the same with the phone and then any cell service. Total it up and then start to look for unnecassary expenses. Cable TV is not necessay. Neither is a cell phone or ISP. Do you use acholol or tobacco? If so this is a good time to quit. What about the once a week bowling league? Not necessary. Do you use a credit card? If so, put it in the sock drawer and adopt the mindset if you can't pay cash, you can't afford it. Watch your grocery budget. Start to use coupons and buy generic. You get the idea. Also, can you raise your income? Either overtime or parttime work?
What about taxes? If you get a healthy refund, you need to speak with HR about adjusting your withholding to get more in your paycheck. Finally, do you have disability insurance? If not and your employer offers it then, you should get some. Living paycheck to paycheck is dangerous. Finally, $650/month rent. Is it possible to move to a cheaper place? I know your sister is the note holder. Could she rent it out for that amount to someone else if you found a cheaper place?
Budgeting is just about being organized and know where your money goes. At the end of the day, you either have to spend less or, earn more or, some combination of the two.

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