17th Dec 2007
Living with debt - budget sheet
Okay so today I want to go over a few techniques that can help you turn debt free whether your an adult or student living in debt. The first thing you want to do is make a monthly debt budget sheet, basically this brakes down your incoming and outgoing amounts and shows how much you have left over each month.. or rather how overdrawn you are each month!
This is similar to my previously mentioned debt to income ratio method but slightly simpler. Basically you download a free budget sheet from someone like the national debt helpline and then fill out income such as salary, tax credit, job seekers allowance, benefits and then outgoings such as mortgage, rent, council tax and so on. You will then see the total incoming and total outgoing simply by adding all these items together. I found a useful site on debt from the Hounslow council which you can find here and some useful tips from Blackpool council on prioritising certain debts . I have attached an image of a sample debt budget sheet below:
You may think it is a bit pointless wasting time filling out a form when you already have a good idea of whats going on financially but it can never hurt to have it down on paper and it makes it easy to spot the larger outgoings that you may not think much off to start with.
Okay so today I want to go over a few techniques that can help you turn debt free whether your an adult or student living in debt. The first thing you want to do is make a monthly debt budget sheet, basically this brakes down your incoming and outgoing amounts and shows how much you have left over each month.. or rather how overdrawn you are each month!
This is similar to my previously mentioned debt to income ratio method but slightly simpler. Basically you download a free budget sheet from someone like the national debt helpline and then fill out income such as salary, tax credit, job seekers allowance, benefits and then outgoings such as mortgage, rent, council tax and so on. You will then see the total incoming and total outgoing simply by adding all these items together. I found a useful site on debt from the Hounslow council which you can find here and some useful tips from Blackpool council on prioritising certain debts . I have attached an image of a sample debt budget sheet below:
You may think it is a bit pointless wasting time filling out a form when you already have a good idea of whats going on financially but it can never hurt to have it down on paper and it makes it easy to spot the larger outgoings that you may not think much off to start with.
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