Ravi Speaks-What Is a Budget Calendar and Do I Need One?

Ravi Speaks: –

As the luck would have it, we all are into the second consecutive year restricted to our homely borders for most of our actions. Thanks to the invisible enemy. We yearn to go out as we used to just before last year March [2020] since some of us are really fed up. Although we could get some three months’ time in between till the first week of May [2021] but, again the same story of keeping ourselves safe and sound inside the four walls of our beloved home. Of course, a priority. No doubt it looks to be very safe and above all more comfortable for all of us but, the adverse effects of this have befallen us slowly now. It all starts with the revenue coming into the home, especially for the people who have their businesses getting affected adversely. Even the people who are serving and most of them doing the job from their homes itself-the flow of the revenue has somewhat been slowed down, which is truly in proportion to the productivity of their respective houses. Following important things have been clearly and prominently noticed significantly in one’s mind: –

1. Restlessness amongst the people restricted for months together at home, especially the younger generation.

2. Dreaming to have a variety for eating at the food junctions other than the stuff which you could call through home delivery.

3. Yearning to go to malls and make new purchases not out of need but out of habit and show business.

4. Even yearning to go to one’s acquaintances and friends so that the word socializing gets its meaning-which seems to have lost it for some time.

5. Even some of my friends speaking to get-togethers immediately after this lockdown is completely taken off.

6. People eagerly wait for their vehicles to be put back in regular motion so that their wheels get accustomed to the long liquid metallic roads because of scorching summers.

One bigger thing which has been very conspicuous because of this lockdown has been the extra expenditure getting curbed because of the curbed activities and even because the chances of spending are also missing because of the restricted movements. Therefore, the lower revenue is helping the people to somehow manage their daily routines. Still, people who have a lot of time and can manage their revenue expenditure in a more planned way or in a scientific manner- are reminded of a very good opportunity for them.

Follow the “BUDGET CALENDAR”. People in advanced countries have been strictly following these. Here in our country as well where both the working partners, educated stay-at-home parents & some retired persons are following these Budget Calendars effectively. Today I am reproducing here a very good article written by Geoff Williams regarding the same ‘Budget Calendars’.

It is very useful for each one of us and especially for retired persons like me who can spend a lot of free time to plan out the little expenses in a better refined and calculated way.

In a nutshell- “With a budget calendar, you can better prepare yourself financially for what’s ahead–and start taking steps to achieve your long-term savings goals.”

 Read the following article and enjoy: –

What Is a Budget Calendar–and Do I Need One?

A budget calendar can help with tracking upcoming bills and managing cash flow.

What Is a Budget Calendar?

Most of us rely on calendars to keep track of everything in our lives, from doctor appointments to vacations. Why not use one to keep track of your finances as well? For example, you may have that doctor’s visit marked, but have you also written the amount of your co-pay? And do you have other important financial dates on your calendar, like “pay the electric bill,” “buy groceries for the week” and “purchase a toy for my nephew’s birthday”?

Maybe you should.

That’s what budget calendars are all about – forcing us to examine our spending visually so we can look at what bills we need to pay now, what’s on the horizon, and what purchases we need to plan for in the months ahead.

What Is a Budget Calendar?

A budget calendar is a financial tool designed to help you remember all the important dates in your life, from the days when you can expect paychecks to arrive to the days those bills are due. The key benefits of creating a monthly budget calendar, planner, or spreadsheet are:

• Improved cash flow. By tracking your fixed expenses and bills, you can develop a better sense of your cash flow. By looking at past account statements and expenses and taking stock of monthly bills, you can easily pinpoint when significant expenses are due and set reminders to avoid late fees.

• Fewer missed bills. With a well-laid-out tracking system, you’ll be less likely to forget important bill due dates. As a result, you can avoid hefty late fees and even help boost your credit score if you’re no longer missing key payment due dates.

• Added savings. If you highlight key dates on a monthly calendar and set reminders, you’re more likely to put cash aside for your retirement savings or to gradually fund your child’s college education. Another option to ensure you’re saving enough each month is setting up your bank account to automatically deposit money in designated savings accounts.

“Budgeting allows you to allocate enough money to pay your bills so you aren’t struggling paycheck to paycheck,” says Leslie Tayne, debt resolution attorney and managing director of Tayne Law Group P.C. in New York City. “No one wants to live paycheck to paycheck as it can be frustrating and emotionally draining, so simply sticking to a budget can help relieve this problem.”

You probably already knew budgeting is smart. But if you’re new to the idea of a budget calendar, read on to learn more about how one can help you manage your cash flow, bookmark important payment due dates, and achieve your financial goals.

Best Budget Calendars

There is a decent amount of budget calendars online, but they’re not all well-reviewed. If you’re looking for a good, comprehensive budget calendar, you can’t go wrong with any of these three.

1. Calendar Budget. CalendarBudget.com has a lot of the features that most calendar budgets have, and it offers an easy way to categorize and divvy up your budget. It also offers an easy way to track how much you’re spending every day, not just with fixed bills, like rent payments or utility bills, but also for, say, dog grooming services. When a bill needs to be paid, you’ll get an email reminder that it’s due. Price: $3.99 a month or $40 a year, after a 30-day free trial period.
2. Money Calendar. Money-calendar.com comes with auto-generated charts to help you track your spending from month to month, which, as the website says, should help you analyze your financial past and then plan your future revenue and expenses. Price: $29.99 flat rate (no subscription). At the time of this writing, however, it was on sale, marked down to $24.99.
3. Moneydance. This budget calendar has many features, from online banking and bill payment to investment tracking. If you spend money in different currencies, Moneydance.com can convert the expenses. It’s a very comprehensive personal finance tool. Price: $49.99 flat rate.

How to Make a Budget Calendar

You don’t have to pay for a budget calendar. You could make your own; plenty of people track some bills on a paper calendar, or you could use a digital calendar, like Google Calendar. Tracking your finances probably won’t be as easy and automated as the budget calendars that you pay for, but if money is an issue or you’re not sure you’ll use a budget calendar, you could always start off this way – and then later pay for a service to help you manage your money.

There are also a variety of free apps and templates online that allow you to easily monitor your spending and map out your budget.

What a Budget Calendar Should Include

Regardless of how you create a budget calendar, you’ll want to make sure you include several types of incoming and outgoing expenses.

• Revenue. As you build out your calendar, include which days you receive paychecks. If you’re self-employed, and you’re not sure which day your future checks will arrive, a budget calendar can come in particularly handy, although it may be difficult to know exactly what days to mark down as revenue days. Still, if your income is sporadic, monitor the rest of your portfolio carefully to understand precisely when bills are due and get a sense of your overall financial well-being. Over time, you can always compare months from one year to the next, so you can get a better idea of when you spend the most and the least.

• Bills. Jot down any day a bill is due on the calendar. If you’re constantly tracking your money, you’ll be more inclined to halt impulse purchases and unnecessary spending days before a bill is due. By understanding when bills are due, you can hopefully avoid common financial mistakes, such as neglecting to pay bills on time or spending too much and then realizing you don’t have money left over for fixed expenses.

• Savings. If you have days, you’re automatically withdrawing money from your bank account to go into savings, such as for retirement, a college fund, or an emergency fund, note those days on your budget calendar. If you don’t put money away regularly, it’s also a smart idea to earmark certain days to save money.

Do I Need a Budget Calendar?

Of course not. You need to budget, but nobody needs a budget calendar. If you can manage your money in your head and still put away funds for a rainy day, a vacation, your retirement, an emergency fund, and have money left over for fun purchases, more power to you.

But it’s important to manage the money that works for you. A budget calendar is just one useful tool consider. It’s crucial to have some sort of budget, whether you keep track of the numbers in your brain or on a budget calendar, and maintain it if you want to live comfortably. That applies whether you’re rich or poor.

“I have seen clients from all walks of life and have helped many low-income individuals who have had financial goals that were just not as grand as those living comfortably,” Tayne says.

The main thing a budget calendar can do is help you think ahead, which is especially important if you don’t have a lot of money.

“Savings and emergency funds are not prevalent among low-income individuals due to lack of cash flow,” Tayne says. “Living on a low income often means focusing on the short term, which is why I believe there is no focus on long-term financial goals. Always living in the short term will keep you running in place and unprepared.”