Great job so far.

 

You have taken massive steps towards freedom!

Put on nice music or the sound of birds, water…

Get
*near your 3 piles of now-sorted bills
*1 piece of paper
*pen or pencil

At the top of the paper, write down your combined
TAKE HOME PAY = (this is AFTER TAXES)
example: $4,391

Write each of the 3 main categories in bold with lots of space for each bill:
TAKE HOME PAY = $4,391

1. STAY ALIVE
Rent/Mortgage+taxes)      $1400
Homeowners Insurance.   $  200
Water.                                     $30
Electricity.                             $100
Gas
Sewer
Car Insurance
Car payment
Home equity loan
Back taxes

2. SHOULD
Student Loans.                  $500

3. NICE TO HAVE
401k or 403b contrubution.  $300
(Look on your pay stub)

Credit card 1                 $300
Credit card 2.                $100
Nordstrom’s card.        $50
Direct TV or cable.        $100
Internet.                           $100
Cell phone.                     $100
Land line (cut this).       $20
Hospital bills.                 $200
Private school tuition.   $500
Gifts.                                 $100

Do you know what you just did?

You just created a BUDGET!

YAY!!!!

Even multibillion $ corporations have budgets. Now you do too.

Step E. A spreadsheet budget for you!