Money Management Planner
Money Management Planner
The Money Management Planner is a guide to
help you take control of your finances. It will help
you determine your net worth, set goals, moni-
tor your cash flow and track expenses. A sound
spending and savings plan is the foundation for
your long-term financial success.
Examine your past finances to create a plan for
all future spending and savings. In other words, a
review of your expenses and spending habits will
enable you to design a realistic monthly budget.
Be prepared to make some changes, though, if
those habits have kept you from achieving your
financial goals.
If your expenses exceed your income, call BALANCE to schedule a money management session.
One of our professional counselors can help you design a realistic spending and savings plan that will
help you get back on track and achieve your financial goals
595 Market Street, 16th Floor, San Francisco, CA 94105
888.456.2227 www.balancepro.net
Financial Goals
Your financial goals are specific things you want to do with your money within a certain time period. Short
range goals are accomplished within one year, mid-range goals are accomplished within 2 to 5 years and long
range goals generally take more than 5 years to achieve.
T
arget
T
arget Date
T
otal Needed
Current
Savings
Additional
Savings
Needed
Pay Periods
Until
Date
Savings
Needed Per
Pay Period
Savings
Needed
Per Month
Short Range Goals
Mid Range Goals
Long Range Goals
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FITNESS
Net Worth
FINANCIAL
In order to evaluate your progress as you work toward your goals, you must determine what your overall
financial picture looks like today. Your net worth is simply the difference between what you own and what you
owe. To make sure you are staying on track, it’s a good idea to calculate your assets and liabilities annually. If
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you conscientiously follow your plan you should see a gradual, steady increase in your net worth.
2007
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What You Own
Amount
What You Owe
Amount
Checking/Saving Accounts
Mortgage
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Investment Accounts
Credit Cards
Stocks & Bonds
Student Loan(s)
IRA/401(k)
Auto Loan(s)
Home/Real Estate
Othe Loan(s)
Automobile(s)
Income Tax Due
Other Assets
Other Debt(s)
Total Owned
(A)
Total Owed
(B)
To figure your net worth, subtract the total owed from the total owned:
Total Owned (A)
Total Owed (B)
Net Worth
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=
Essential Expenses
Household expenses are categorized into essential and discretionary. Since many expenses are variable,
such as utilities and groceries, it is important to average these expenses. Other expenses are periodic (such
as insurance or vehicle registration). Again, calculate the annual amount and divide by 12.
Category
Expense
Average Per Month
Goal Per Month
Rent/Mortgage
2nd Mortgage/Equity Line
Homeowner’s/Renter’s Insurance
Condo Fees/HOA Dues
HOUSING
Home Maintenance
Gas/Electric
Water/Sewer/Garbage
Telephone
Groceries/Household Items
FOOD
At Work/School
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INSURANCE
Health/Dental/Vision
(Exclude payroll deducted amounts)
Life/Disability
FITNESS
Doctor/Chiropractor
MEDICAL CARE
Optometrist/Lenses
(Exclude payroll deducted amounts)
Dentist/Orthodontist
FINANCIAL
Prescriptions
Car Payment #1
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Car Payment #2
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Auto Insurance
TRANSPORTATION
Registration
(Exclude payroll deducted amounts)
Gasoline/Oil
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Maintenance/Repairs
Public Transportation/Tolls/Parking
CHILD CARE
Daycare
(Exclude payroll deducted amounts)
Child Support/Alimony
Banking Fees
Laundry
MISCELLANEOUS
Union Dues
Other
Prior Year
INCOME TAXES
Estimated Tax Payments (Self-Employed)
Emergency
SAVINGS
Goals
TOTALS
Discretionary Expense
Category
Expense
Average Per Month
Goal Per Month
Beauty/Barber
PERSONAL
Clothing/Jewelry
Cosmetics/Manicure
Cable/Satellite
Movies/Concerts/Theater
Books/Magazines
ENTERTAINMENT
CD/Tapes/Videos/DVD
Dining Out
Sports/Hobbies
Vacation/Travel
Internet Service
Pet Care
Gifts for Holidays/Birthdays
PROGRAM
Cell Phone/Pager
MISCELLANEOUS
Postage
FITNESS
Cigarettes/Alcohol
Contributions to Church/Charity
FINANCIAL
Other
TOTALS
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Unsecured Debt
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List all debts (except auto loans and mortgages) along with the name of the creditor, interest rate, total
balance owing and the required minimum payment. This includes credit and charge cards, installment loans,
personal loans and outstanding medical bills.
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Creditor Name
Interest Rate
Monthly Payment
Balance
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3
4
5
6
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8
9
10
11
12
Monthly Income
Enter your gross and net (after taxes) income from all sources. For income received infrequently, such as
bonuses or tax returns, calculate the annual income, then divide by 12 to find the monthly amount.
Source
Gross
Net
Job
Spouse’s job
Part-time job
Rental/room & board received
Commissions/bonuses
Tax refunds
Investment income
Government benefits
Unemployment insurance
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Child support/alimony
Support from family/friends
FITNESS
Other
Total
FINANCIAL
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Bottom Line
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Once you have determined the total of your take-home pay and expenses you are ready to determine your
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bottom line. Subtract the total of all expenses including debt payments from your net income. If the result is a
positive number, you can add the extra money to your savings to reach your goals sooner. If your expenses
exceed your income, you’ll need to make some adjustments to bring your finances back into balance.
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Total Discretionary
Monthly Net Income
Total Essential Expenses
Total Debt Payment
Balance
Expenses
–
–
–
=
Tracking Day-to-Day Expenses
If you don’t know where your money is going, it’s time to start tracking your spending. Different methods of
tracking work for different people—some like to save receipts while others prefer to jot down all purchases
in a small notebook they carry with them. Remember, tracking is only effective if you count every expense,
including the morning newspaper and the 75 cents you put in the office vending machine. Use the sheets on
the next two pages to record weekly and monthly spending totals. (We suggest you make copies of the charts
so that you can track for longer than one week.)
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Weekly Expenses
Total
Weekly
Over /
Item
Mon
Tue
Wed
Thu
Fri
Sat
Sun
Expenses
Budget
Under
Groceries
Restaurants
Laundry/Dry
Cleaning
Medical/Dental
Auto/Gas/Parking
Other
Transportation
Child Care
Personal Care
PROGRAM
Clothing
Bank Fees/
FITNESS
Postage
Entertainment
FINANCIAL
Books/Music/
Video
Cigarettes/Alcohol
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Gifts/Cards
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Home/Garden
Church/Charity
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Contributions
Other
Other
Other
Other
Weekly Totals
Budget Overview:
Income____________________ Expenses____________________ Balance (+/-)____________________
Monthly Expenses
Total
Monthly
Item
Week 1
Week 2
Week 3
Week 4
Week 5
Over / Under
Expenses
Budget
Savings
Groceries
Restaurants
Laundry/Dry
Cleaning
Medical/Dental
Auto/Gas/Parking
Other
Transportation
Child Care
PROGRAM
Personal Care
FITNESS
Clothing
Bank Fees/
Postage
FINANCIAL
Entertainment
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Books/Music/
Video
2007
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Cigarettes/Alcohol
Gifts/Cards
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Home/Garden
Church/Charity
Contributions
Other
Other
Other
Monthly Totals
Budget Overview:
Income_____________________ Expenses_____________________ Balance (+/-)__________________
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Budget Guidelines
Housing – Spend no more than 35% of net income on housing. Depending on whether you rent or own, that
can include: mortgage/rent, utilities, insurance, taxes, and home maintenance.
Savings – Save at least 10% of income throughout your working
life. Make sure you have 3–6 months income in an emergency fund
Savings
before you start saving for other goals.
10%
Housing
Transportation – Spend no more than 15% of net income on
35%
Transportation
transportation. That includes: car payment, auto insurance, tag or license,
15%
maintenance, gasoline, and parking.
Other
Debt – Spend no more than 15% of net income on all other consumer
Debt
25%
debt: student loans, retail installment contracts, credit cards, personal
15%
loans, tax debts, and medical debts.
Other – Spend no more than 25% of net income on all other expenses:
food, clothing, entertainment, childcare, medical expenses, tithing/charity,
and vacations.
PROGRAM
Adjust Your Plan
FITNESS
If the amount you are now saving falls short of the amount you need to save to reach your goals, here are
some questions to ask yourself:
FINANCIAL
• Are you paying yourself first by putting away at least 10 percent of your after-tax income?
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• Could you increase the amount you’re saving by earning more or spending less?
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• Did you set reasonable, achievable goals?
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• Could you delay the target date of any of your goals?
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You should reevaluate your spending and savings plan annually, or whenever there is a big change in your
financial wants and needs. Remember that a budget is simply a priority list—by following it you are ensuring
that your money is used to acquire the things, or reach the goals, that are most important to you.
BALANCE offers a variety of free and low-cost services to help you get out of debt, design
a money management plan, and achieve your financial goals. For more information about
how BALANCE can help you master your money, call us toll-free at 888.456.2227 or log onto
www.balancepro.net.
