We had completely reset the family budget. This meant we actually had to use one. I resisted the thought of a budget until casually my husband said “If we had a budget – you would probably stop working full time.” It was my motivation at the time and we went all in.
Family Budget Tips
I am a total believer now – and I will tell you why. When I left my job we also left $4,000 of income a month. That is a lot of money. We cut out childcare for one and did move since it was a drastic amount of money and we worked on paying off debt – the smallest to largest.
Name Your Priorities
We planned on the things we knew were important to us and we knew were going to happen:
- a sitter for the small group every week so we could attend our church connection group
- monthly allowance for doing activities with the kids – zoo, pool a movie.
- we ate at home. A lot. We buy our meat from a farmer which directly reduces our grocery budget
- “fun money” was a category that came later but now we can use it for house projects, dates nights, etc.
Things we eliminated
- subscriptions – whether it was soap delivered monthly or makeup. We just took it out
- cable TV
- A salon haircut or color, we found someone who cuts hair in their home, and I cut my boys’ hair
A few budget-saving tips
- find an app, like Every Dollar to budget monthly, different months call for different categories – such as haircuts, sports registrations, family trips etc.
- Kids clothing is expensive, sell back your kids clothes and keep a credit or use that money to buy for the next season for your kids
- If you have kids in diapers or pulls ups, you can save up to 50% buying those items at Aldi. We’re under budget every month now – leaving flex room for “life”
Total Month Net: $5,000 –
Mortgage = Many sources state your house should not be more than 30% of your overall budget) If you have not looked into refinancing this year – it may be time and you could save a few hundred on your mortgage
Childcare for work