Articles
Methods, annual bills, savings, income and debt: clear guides with worked examples.
The 50/30/20 rule explained, with a worked example
Half for needs, 30% for wants, 20% for savings: the simplest budget rule, explained step by step with real figures.
Annual bills: the monthly provision method (sinking fund)
Car insurance, taxes, school fees: annual bills wreck budgets because they arrive all at once. The fix is to save for them every month.
Emergency fund: how much to keep, and where
Three to six months of essential expenses is the usual target. Here is how to calculate yours and build it without stress.
Annual bonus or 13th month: how to use it wisely
A bonus can transform your finances — or disappear in a few weeks. Here is how to decide in advance where it goes.
Needs or wants? How to classify your expenses
The line between a need and a want is not always obvious. Here is a simple test and examples for the most common expenses.
Car insurance, tax and maintenance: budgeting your car over 12 months
Fuel is only part of the story. Insurance, tax, servicing and tyres often double the real monthly cost of a car.
Pay yourself first: the 80/20 budget
Save first, spend what is left: the 80/20 budget is the lightest method there is, and often the most effective.
Savings goals: calculating the monthly effort
Target, amount already saved, deadline: three figures are enough to know how much to put aside each month for each project.
Zero-based budgeting: give every unit of income a job
Income minus planned spending and savings equals zero: the most precise budgeting method, explained with a full example.
The envelope method: controlling day-to-day spending
One envelope per spending category, and when it is empty, you stop: the oldest budget method is still one of the most effective.
Compound interest explained simply
Interest that earns interest: why $200 a month can become far more than you put in, and why time matters more than the rate.
Housing costs: the 30% benchmark and the 28/36 rule
Housing is usually the biggest expense in a budget. Two benchmarks help you check whether yours is sustainable.
Budgeting with an irregular income
When your income varies, budget on a low month, smooth the rest with a buffer account, and pay yourself a regular salary.
Paying off debt: snowball or avalanche?
Smallest balance first or highest rate first? A worked comparison of the two best-known debt repayment strategies.
10 common budgeting mistakes and how to avoid them
Most budgets fail for the same few reasons. Here are the ten most common mistakes, and a simple fix for each.