Set Up a Payday-to-Payday Spending Plan
You are now ready to establish a Payday Spending Plan(PDF).
by listing all of your unique monthly expenses (which now should be adjusted
based on your adjusted expenses on your Monthly Expense Form) on the Payday
Spending Plan. Some categories typical for most consumers are already listed
on this form to show you how this works.
Take your own Monthly Expense
Form and your Debt Listing and complete the Payday Spending Plan with all
of your own expenses and debts listed down the second left hand column. In
the far left hand column, list the dates or timeframes that relate to that
particular expense or debt payment (i.e.: 1st, 15th, 25th, weekly, monthly,
Across the top of the form, list all of your payday dates for
one month only. Under the payday dates in the "Received" line(s) enter your
anticipated net income for those paydays. Now you can cross-reference the
dates/timeframes that expenses and debts are due with your paydays as they
come up. So, as you approach the 15th payday, for instance, you will look
to the far left, select all expense/debt payments that will be made between
the 15th and the next payday, and write the amount due to be paid in that
space under the payday column.
Using the Payday Spending Plan, you
can project out for a period of time and begin to see how you can make progress
on debts, adjust for periodic expenses or expenses you were not anticipating
at all, and also have a comprehensive quick look at your finances at any point
Over the months, you will begin to build a great form of documentation
for all of your financial activities that relate to personal spending and
planning. Add one more step and you will virtually always feel very in control
of YOUR MONEY.
When a bill arrives, write the amount of the payment
due on your Payday Spending Plan and then place it in your Money Management
file. You will have a quick and ready reference for amounts and dates due
for bills rather than continually rummaging through a pile of envelopes and
For expenses and bills for which you do not actually receive
a bill, list or estimate those amounts approximately one month ahead of time
and you will begin to know what to anticipate as you become intimately involved
in the real flow of YOUR MONEY.
What if a totally unexpected expense
comes up? Often a car repair or doctor bill can seem to throw you off completely.
Never fear... you are now able to look ahead and anticipate the effect that
paying for that expense by cash or credit will have on your Payday Spending
Plan. As you become more accustomed to relying on this form, you will learn
what risks you can and cannot take and still maintain the money flow that
works effectively for you.
Good luck with this final step in YOUR MONEY
planning! Reaching this step successfully and gaining confidence in using
the Payday Spending Plan will make a huge difference in how you feel about