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Here’s a simple way to make a monthly budget and start saving money

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Think of a budget as just another list.

It’s most efficient to build a budget on a spreadsheet somewhere — whether it’s Microsoft Excel or a Google doc. Add your income and then add new expenses as you spend.

And those new expenses will surely pop up. Try to do as much planning as you can for occasional costs, such as presents for the holidays, or that getaway you plan every year — or the unexpected doctor appointment.

The more you track your spending and keep an eye on it, the better you’ll get at understanding your expenses month to month.

Watch this video for a step-by-step guide to making a budget that will work for you.

More from Invest in You:
Retirement is expensive – here’s how much you really need to save for it
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Here’s how you can save $500,000 for retirement on an annual salary of $35,000

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