Free Financial Articles, Tips and Tools
Visit for money management tips and more.
Long Live Your MoneyFacebookTwitterGoogle PlusLinkedInYouTube


A budget is generally thought of as a rigid plan on how you can spend your money. While this is true, you may want to think of it as a "household spending analysis." That does not sound so tedious and it better implies how you can use it to build a solid financial foundation and feel more in control of your finances.

Why is it important?
Generally speaking, a spending analysis will enable you to understand where your money comes from and where it goes. With that understanding, you will be in a better position to make informed financial decisions, to monitor your spending and to potentially identify ways to spend less on some items so you have more to spend on more important things or to save.

Components of a spending analysis
Going through the effort to prepare a completely accurate analysis can be difficult and time consuming. The more specific you can get the better, but do not let the thought of preparing an analysis keep you from trying. Here is a form that can help.

Monthly Household Spending Worksheet -- Date Prepared _________

Monthly Expenses Current Goal Comments or Observations
Savings $ $  
Housing Expenses      
          Mortgage payments or rent $ $  
          Property taxes $ $  
          Maintenance or repairs $ $  

          Utilities (gas/water/electricity)

$ $  


$ $  

          Housekeeping, laundry

$ $  

          Other housing expenses

$ $  
Transportation Expenses      
          Car loan or lease payments $ $  
          Fuel, maintenance, repairs $ $  
          Auto insurance $ $  
          Public transportation $ $  
          Other transportation expenses $ $  
Food & Entertainment Expenses      
          Groceries $ $  
          Restaurants $ $  
          Sports, hobbies, pastimes $ $  
          Books, magazines $ $  
          Vacations $ $  
          Other $ $  
Health Care Expenses      
          Doctors, dentists, etc. $ $  
          Prescriptions $ $  
          Health insurance $ $  
          Other health care expenses $ $  
Family Expenses      
          Schools, colleges $ $  
          Child care $ $  
          Alimony and child support $ $  
          Other family expenses $ $  
Other Expenses      
          Clothing, shoes, etc. $ $  
          Charitable contributions $ $  
          Gifts, birthdays, holidays $ $  
          Pets, veterinarian expenses $ $  
          Paying off debts or credit cards $ $  
          Life and disability insurance $ $  
          Walking around money $ $  
          Other $ $  
Taxes $ $  
Social Security $ $  
Federal, state, local taxes $ $  
Total Expenses $ $  

As you start filling in the blanks in the worksheet, think about how much control you have over your expenses. Things like rent, taxes and insurance are probably pretty well set. Other expenses, like food, entertainment, and gifts are more controllable. Just by thinking about these items, you may be able to find ways to spend less and save more. If nothing else, you can make judgments about which expenses are most important to you.

Finally, it makes sense to go through this exercise on a regular basis. By analyzing your expenses every year, you will be able to see how your spending patterns are changing and you will feel more in control of your financial future.




This Resource Center is designed to offer helpful news, tips, and tools for general informational purposes ONLY; it is not intended to provide legal and/or financial advice or recommendations for any specific individual, business, or circumstance. The offerings found here are provided by third parties, which are neither controlled nor endorsed by Bank of Oklahoma. Bank of Oklahoma does not guarantee or warrant the accuracy, completeness, or timeliness of this information and content. Additionally, links to third party sites are provided only for your convenience. Third party sites are neither controlled nor endorsed by Bank of Oklahoma and may not have the same privacy, security or accessibility standards. Third Parties are solely responsible for the content and availability of such sites.

© 2016 Bank of Oklahoma, a division of BOKF, NA. Member FDIC. Equal Housing Lender.