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When the money you have is limited, it’s important to keep track of your finances. The best way to do this is by working out a budget.
A budget is a money management tool that allows you to plan how much you spend or save each month. It also helps you keep track of your spending habits.
To create a budget, you first record all the money you have coming in, like your salary or wages, benefits, and pensions. You then deduct against payments you make, like your rent or mortgage, council tax, insurance, and other living expenses.
If you don’t have enough money to do everything you want, your budget can help you decide what to prioritise.
Citizens Advice Waltham Forest has a tool you can use to work out your budget.