budgeting
Budgeting
Money planning to meet
your ﬁnancial goals
Inside
side . . .
What is a budget?
Making a budget
Getting help
brought to you by the commission for ﬁnancial literacy and retirement income
What is a budget?
A budget is a plan for the money you expect
to receive and how you expect to spend it.
Everyone can beneﬁt from having a budget.
It’s one of your best tools for getting sorted.
To make a budget you add up how much money
is coming into your household (your income),
then you add up how much money is going out
(your spending), and work out the difference.
Your budget will tell you whether you have
money left over (a surplus) or not enough money
to cover your spending (a deﬁcit). The aim of
a budget is to try and make a surplus – so you
have some spare money to save for your goals
or to pay off debt.
What is a deﬁcit?
A deﬁcit is when you don’t
have enough money to cover
your spending. If you spend
more than you earn, you have
a deﬁcit.
What is a surplus?
A surplus is when you have
money left over. If you spend
less than you earn, you have
a surplus.
Have you set your goals?
Setting your goals will help
you to think about what you
want in life and how you want
to spend your money. Order
the Set your goals booklet
from sorted.org.nz/ordering
or call 0800 SORT MONEY
(0800 767 866).
goals
Set y
our g
oals
The ﬁ
rs
your t step to
mone
m
y bett anaging
er
Inside
...
Set yo
ur ﬁn
ancial
goals
Write
your
goals
down
ions to
reach
your
goals
Set act
brough
t to you
by the
commiss
ion for
ﬁnancia
l liter
acy and
retirem
ent inco
me
Now you’ve made
your budget, ﬁnd out what
to do next if you have money
left over (a surplus) or not enough
to cover your spending
(a deﬁcit).
Done your budget?
If you have a surplus
If you have a deﬁcit
Here are some things you could do:
Here are some things you could do:
■
■
■
Check that the amounts in your
budget give you enough money
to pay for your family’s expenses.
Are there any areas where a little
more money would make your
budget work better?
■
If you have any savings, use some
of it to pay off debt.
■
Check your budget. Is there any
spending that could be reduced?
■
Use your surplus to pay off your
debt more quickly
Save your surplus towards one
of your goals. Your goal could
be having an emergency fund,
buying a house or saving for a
holiday.
■
Meet a budget adviser and work
out a savings plan
■
Make a date to check your
budget in six months’ time.
Call 0800 774 004 to make sure
you are getting your Working for
Families entitlements – you may
qualify for Working for Families
tax credits, the Accommodation
Supplement or Childcare
Assistance.
■
Think about ways to earn more
income
■
Meet a budget adviser.
Getting help
If you need help to make a budget, call
Family Budgeting Services on 0508 BUDGET
(0508 283 438). Their services are free and
conﬁdential. A trained budget adviser will answer
your call. They will answer your questions over
the phone or put you in contact with an adviser
in your area.
Family Budgeting Services has budget advisers
throughout New Zealand who can show you
how to make and operate a budget. They will
help you to take control of your money.
Kiwi story
Things you need
A budget that works
Try our online calculators
Budgeting made easy
Use the Money planner to make
a plan for your money. Just enter
your income and your spending,
and it will do the calculations
for you.
See where your money goes
Now you’ve done a budget,
use the Sorted’s Money tracking
guide to help see where your
money really goes. You can
track your spending day to day
or month to month.
Jimmy and Suzie live with their
seven-year-old son in Hastings. When
they bought their ﬁrst house they
decided to work out a budget together.
Making their budget took time, but once
it was done, Jimmy and Suzie could see
where their money was going. They
found there were some areas where
they could spend a bit less and put that
money towards paying off debt.
While the budget was hard to stick to
at ﬁrst, Jimmy and Suzie have paid off
their hire purchase debts and saved
$5,000 towards an emergency fund that
they can use if they need it.
Jimmy’s top tip is to be realistic when
working out a budget. At the start
Jimmy and Suzie just wanted to pay off
their debts and they didn’t leave enough
money for their weekly expenses. So
they changed their budget to have a
bit more money to spend each week –
making that change meant the rest of
their budget could work after all.
1
A list of your spending each week. Keeping
receipts from your shopping
is one way of doing this.
■
2
Your bank statements and bills for at least
the last three months. These will show how
much you are spending each month on
rent, mortgage payments, hire purchase,
credit cards, telephone and power
bills and insurance.
■
3
4
5
A list of costs that you pay from time
to time such as car licensing, medical
expenses, gifts and holidays
■
A list of any money you get such as
your pay, beneﬁts or other government
support, NZ Super or interest you earn
on your savings
■
A list of any regular savings you make
■
Get all the information
Give yourself a couple
of weeks to get all the
information you need. Put
it in one place so that it’s all
together when you’re ready
to make your budget.
Making a budget that works
For a budget to work, the
information needs to be
accurate and complete.
Don’t forget to include the
little things like ice creams
for the kids or bus fares and
money for parking. A budget
also needs to be up to date,
so it’s a good idea to check
it regularly.
Find out what
to do next
Get your budgeting
Get your budgeting
Making a budget
1. Your weekly income
2. Your weekly spending
When you have all the information you need, it’s time to work out your budget.
Set some time aside for this. You can use this budget sheet or the Money planner
on sorted.org.nz. Be realistic about the amounts you include. You need to put
down your real costs for your budget to work.
3. Your monthly spending
Food & housekeeping (include extra milk, bread, etc.)
$
Mortgage payments
Rent/board
$
Child support payments
4. Your yearly spending
(if you pay fortnightly, work out the monthly amount by
multiplying the amount you pay by 26 and then dividing it by 12.)
5. Your results
Rates (including water)
$
Power/gas
$
Car licensing and warrant of ﬁtness
$
$
Telephone (including mobile, broadband)
$
Car maintenance and repairs
$
Fares/petrol
$
Insurances (house, contents, car, medical, life)
$
Fees and subscriptions – schools, kindergarten, clubs
$
Personal cash (e.g. cigarettes, entertainment)
$
Credit cards: 1
$
Medical (including doctors, dentist, prescriptions)
$
Children’s school books, school trips, etc.
$
Credit cards: 2
$
Dog registration and vet
$
Children’s pocket money
$
Credit contracts (hire purchase): 1
$
Home maintenance
$
Donations (church, charity)
$
Credit contracts (hire purchase): 2
$
Clothing, shoes, uniforms
$
Work and Income repayments
$
Loans (e.g. car loans, personal loans)
$
Gifts
$
Fines
$
Equipment rental (e.g. washing machine, TV)
$
Holidays
$
Other weekly spending
$
Bank fees
$
Regular savings
$
Tick the box that’s right for you:
$
Other monthly spending
$
Other yearly spending
$
■
■
Divide the amounts by two if you receive fortnightly payments, or by four if you receive monthly payments.
Weekly take-home pay (after all deductions)
$
Beneﬁts or other government support
$
NZ Super payments
$
Working for Families income
$
Child support
$
Board payments
$
Interest/dividend payments
$
Other income
$
$
$
$
Step 1. Add the above for the total.
Total
Step 2. Multiply by 12 months (x12).
Add the above for the total.
1
Total
$
Put the total from Box 1 here.
$
Add the above for the total.
2
Total
$
Step 3. Divide by 52 (weeks/year).
3
$
$
$
$
5
Total
weekly
income
$
Add Boxes 2,3 & 4, and put their combined total here.
6
Total
weekly $
spending
Subtract Box 6 from Box 5. Write the answer here.
7
Sum
total
$
The amount in Box 5 is bigger than Box 6. The amount in Box 7 is my surplus.
The amount in Box 5 is smaller than Box 6. The amount in Box 7 is my deﬁcit.
$
$
Step 1. Add the above for the total.
$
Step 2. Divide by 52 (weeks/year).
Total
4
$
$
Get your budgeting
Making a budget
1. Your weekly income
2. Your weekly spending
When you have all the information you need, it’s time to work out your budget.
Set some time aside for this. You can use this budget sheet or the Money planner
on sorted.org.nz. Be realistic about the amounts you include. You need to put
down your real costs for your budget to work.
3. Your monthly spending
Food & housekeeping (include extra milk, bread, etc.)
$
Mortgage payments
Rent/board
$
Child support payments
4. Your yearly spending
(if you pay fortnightly, work out the monthly amount by
multiplying the amount you pay by 26 and then dividing it by 12.)
5. Your results
Rates (including water)
$
Power/gas
$
Car licensing and warrant of ﬁtness
$
$
Telephone (including mobile, broadband)
$
Car maintenance and repairs
$
Fares/petrol
$
Insurances (house, contents, car, medical, life)
$
Fees and subscriptions – schools, kindergarten, clubs
$
Personal cash (e.g. cigarettes, entertainment)
$
Credit cards: 1
$
Medical (including doctors, dentist, prescriptions)
$
Children’s school books, school trips, etc.
$
Credit cards: 2
$
Dog registration and vet
$
Children’s pocket money
$
Credit contracts (hire purchase): 1
$
Home maintenance
$
Donations (church, charity)
$
Credit contracts (hire purchase): 2
$
Clothing, shoes, uniforms
$
Work and Income repayments
$
Loans (e.g. car loans, personal loans)
$
Gifts
$
Fines
$
Equipment rental (e.g. washing machine, TV)
$
Holidays
$
Other weekly spending
$
Bank fees
$
Regular savings
$
Tick the box that’s right for you:
$
Other monthly spending
$
Other yearly spending
$
■
■
Divide the amounts by two if you receive fortnightly payments, or by four if you receive monthly payments.
Weekly take-home pay (after all deductions)
$
Beneﬁts or other government support
$
NZ Super payments
$
Working for Families income
$
Child support
$
Board payments
$
Interest/dividend payments
$
Other income
$
$
$
$
Step 1. Add the above for the total.
Total
Step 2. Multiply by 12 months (x12).
Add the above for the total.
1
Total
$
Put the total from Box 1 here.
$
Add the above for the total.
2
Total
$
Step 3. Divide by 52 (weeks/year).
3
$
$
$
$
5
Total
weekly
income
$
Add Boxes 2,3 & 4, and put their combined total here.
6
Total
weekly $
spending
Subtract Box 6 from Box 5. Write the answer here.
7
Sum
total
$
The amount in Box 5 is bigger than Box 6. The amount in Box 7 is my surplus.
The amount in Box 5 is smaller than Box 6. The amount in Box 7 is my deﬁcit.
$
$
Step 1. Add the above for the total.
$
Step 2. Divide by 52 (weeks/year).
Total
4
$
$
Get your budgeting
Making a budget
1. Your weekly income
2. Your weekly spending
When you have all the information you need, it’s time to work out your budget.
Set some time aside for this. You can use this budget sheet or the Money planner
on sorted.org.nz. Be realistic about the amounts you include. You need to put
down your real costs for your budget to work.
3. Your monthly spending
Food & housekeeping (include extra milk, bread, etc.)
$
Mortgage payments
Rent/board
$
Child support payments
4. Your yearly spending
(if you pay fortnightly, work out the monthly amount by
multiplying the amount you pay by 26 and then dividing it by 12.)
5. Your results
Rates (including water)
$
Power/gas
$
Car licensing and warrant of ﬁtness
$
$
Telephone (including mobile, broadband)
$
Car maintenance and repairs
$
Fares/petrol
$
Insurances (house, contents, car, medical, life)
$
Fees and subscriptions – schools, kindergarten, clubs
$
Personal cash (e.g. cigarettes, entertainment)
$
Credit cards: 1
$
Medical (including doctors, dentist, prescriptions)
$
Children’s school books, school trips, etc.
$
Credit cards: 2
$
Dog registration and vet
$
Children’s pocket money
$
Credit contracts (hire purchase): 1
$
Home maintenance
$
Donations (church, charity)
$
Credit contracts (hire purchase): 2
$
Clothing, shoes, uniforms
$
Work and Income repayments
$
Loans (e.g. car loans, personal loans)
$
Gifts
$
Fines
$
Equipment rental (e.g. washing machine, TV)
$
Holidays
$
Other weekly spending
$
Bank fees
$
Regular savings
$
Tick the box that’s right for you:
$
Other monthly spending
$
Other yearly spending
$
■
■
Divide the amounts by two if you receive fortnightly payments, or by four if you receive monthly payments.
Weekly take-home pay (after all deductions)
$
Beneﬁts or other government support
$
NZ Super payments
$
Working for Families income
$
Child support
$
Board payments
$
Interest/dividend payments
$
Other income
$
$
$
$
Step 1. Add the above for the total.
Total
Step 2. Multiply by 12 months (x12).
Add the above for the total.
1
Total
$
Put the total from Box 1 here.
$
Add the above for the total.
2
Total
$
Step 3. Divide by 52 (weeks/year).
3
$
$
$
$
5
Total
weekly
income
$
Add Boxes 2,3 & 4, and put their combined total here.
6
Total
weekly $
spending
Subtract Box 6 from Box 5. Write the answer here.
7
Sum
total
$
The amount in Box 5 is bigger than Box 6. The amount in Box 7 is my surplus.
The amount in Box 5 is smaller than Box 6. The amount in Box 7 is my deﬁcit.
$
$
Step 1. Add the above for the total.
$
Step 2. Divide by 52 (weeks/year).
Total
4
$
$
Get your budgeting
Making a budget
1. Your weekly income
2. Your weekly spending
When you have all the information you need, it’s time to work out your budget.
Set some time aside for this. You can use this budget sheet or the Money planner
on sorted.org.nz. Be realistic about the amounts you include. You need to put
down your real costs for your budget to work.
3. Your monthly spending
Food & housekeeping (include extra milk, bread, etc.)
$
Mortgage payments
Rent/board
$
Child support payments
4. Your yearly spending
(if you pay fortnightly, work out the monthly amount by
multiplying the amount you pay by 26 and then dividing it by 12.)
5. Your results
Rates (including water)
$
Power/gas
$
Car licensing and warrant of ﬁtness
$
$
Telephone (including mobile, broadband)
$
Car maintenance and repairs
$
Fares/petrol
$
Insurances (house, contents, car, medical, life)
$
Fees and subscriptions – schools, kindergarten, clubs
$
Personal cash (e.g. cigarettes, entertainment)
$
Credit cards: 1
$
Medical (including doctors, dentist, prescriptions)
$
Children’s school books, school trips, etc.
$
Credit cards: 2
$
Dog registration and vet
$
Children’s pocket money
$
Credit contracts (hire purchase): 1
$
Home maintenance
$
Donations (church, charity)
$
Credit contracts (hire purchase): 2
$
Clothing, shoes, uniforms
$
Work and Income repayments
$
Loans (e.g. car loans, personal loans)
$
Gifts
$
Fines
$
Equipment rental (e.g. washing machine, TV)
$
Holidays
$
Other weekly spending
$
Bank fees
$
Regular savings
$
Tick the box that’s right for you:
$
Other monthly spending
$
Other yearly spending
$
■
■
Divide the amounts by two if you receive fortnightly payments, or by four if you receive monthly payments.
Weekly take-home pay (after all deductions)
$
Beneﬁts or other government support
$
NZ Super payments
$
Working for Families income
$
Child support
$
Board payments
$
Interest/dividend payments
$
Other income
$
$
$
$
Step 1. Add the above for the total.
Total
Step 2. Multiply by 12 months (x12).
Add the above for the total.
1
Total
$
Put the total from Box 1 here.
$
Add the above for the total.
2
Total
$
Step 3. Divide by 52 (weeks/year).
3
$
$
$
$
5
Total
weekly
income
$
Add Boxes 2,3 & 4, and put their combined total here.
6
Total
weekly $
spending
Subtract Box 6 from Box 5. Write the answer here.
7
Sum
total
$
The amount in Box 5 is bigger than Box 6. The amount in Box 7 is my surplus.
The amount in Box 5 is smaller than Box 6. The amount in Box 7 is my deﬁcit.
$
$
Step 1. Add the above for the total.
$
Step 2. Divide by 52 (weeks/year).
Total
4
$
$
Get your budgeting
Making a budget
1. Your weekly income
2. Your weekly spending
When you have all the information you need, it’s time to work out your budget.
Set some time aside for this. You can use this budget sheet or the Money planner
on sorted.org.nz. Be realistic about the amounts you include. You need to put
down your real costs for your budget to work.
3. Your monthly spending
Food & housekeeping (include extra milk, bread, etc.)
$
Mortgage payments
Rent/board
$
Child support payments
4. Your yearly spending
(if you pay fortnightly, work out the monthly amount by
multiplying the amount you pay by 26 and then dividing it by 12.)
5. Your results
Rates (including water)
$
Power/gas
$
Car licensing and warrant of ﬁtness
$
$
Telephone (including mobile, broadband)
$
Car maintenance and repairs
$
Fares/petrol
$
Insurances (house, contents, car, medical, life)
$
Fees and subscriptions – schools, kindergarten, clubs
$
Personal cash (e.g. cigarettes, entertainment)
$
Credit cards: 1
$
Medical (including doctors, dentist, prescriptions)
$
Children’s school books, school trips, etc.
$
Credit cards: 2
$
Dog registration and vet
$
Children’s pocket money
$
Credit contracts (hire purchase): 1
$
Home maintenance
$
Donations (church, charity)
$
Credit contracts (hire purchase): 2
$
Clothing, shoes, uniforms
$
Work and Income repayments
$
Loans (e.g. car loans, personal loans)
$
Gifts
$
Fines
$
Equipment rental (e.g. washing machine, TV)
$
Holidays
$
Other weekly spending
$
Bank fees
$
Regular savings
$
Tick the box that’s right for you:
$
Other monthly spending
$
Other yearly spending
$
■
■
Divide the amounts by two if you receive fortnightly payments, or by four if you receive monthly payments.
Weekly take-home pay (after all deductions)
$
Beneﬁts or other government support
$
NZ Super payments
$
Working for Families income
$
Child support
$
Board payments
$
Interest/dividend payments
$
Other income
$
$
$
$
Step 1. Add the above for the total.
Total
Step 2. Multiply by 12 months (x12).
Add the above for the total.
1
Total
$
Put the total from Box 1 here.
$
Add the above for the total.
2
Total
$
Step 3. Divide by 52 (weeks/year).
3
$
$
$
$
5
Total
weekly
income
$
Add Boxes 2,3 & 4, and put their combined total here.
6
Total
weekly $
spending
Subtract Box 6 from Box 5. Write the answer here.
7
Sum
total
$
The amount in Box 5 is bigger than Box 6. The amount in Box 7 is my surplus.
The amount in Box 5 is smaller than Box 6. The amount in Box 7 is my deﬁcit.
$
$
Step 1. Add the above for the total.
$
Step 2. Divide by 52 (weeks/year).
Total
4
$
$
Get your budgeting
Now you’ve made
your budget, ﬁnd out what
to do next if you have money
left over (a surplus) or not enough
to cover your spending
(a deﬁcit).
Done your budget?
If you have a surplus
If you have a deﬁcit
Here are some things you could do:
Here are some things you could do:
■
■
■
Check that the amounts in your
budget give you enough money
to pay for your family’s expenses.
Are there any areas where a little
more money would make your
budget work better?
■
If you have any savings, use some
of it to pay off debt.
■
Check your budget. Is there any
spending that could be reduced?
■
Use your surplus to pay off your
debt more quickly
Save your surplus towards one
of your goals. Your goal could
be having an emergency fund,
buying a house or saving for a
holiday.
■
Meet a budget adviser and work
out a savings plan
■
Make a date to check your
budget in six months’ time.
Call 0800 774 004 to make sure
you are getting your Working for
Families entitlements – you may
qualify for Working for Families
tax credits, the Accommodation
Supplement or Childcare
Assistance.
■
Think about ways to earn more
income
■
Meet a budget adviser.
Getting help
If you need help to make a budget, call
Family Budgeting Services on 0508 BUDGET
(0508 283 438). Their services are free and
conﬁdential. A trained budget adviser will answer
your call. They will answer your questions over
the phone or put you in contact with an adviser
in your area.
Family Budgeting Services has budget advisers
throughout New Zealand who can show you
how to make and operate a budget. They will
help you to take control of your money.
Kiwi story
Things you need
A budget that works
Try our online calculators
Budgeting made easy
Use the Money planner to make
a plan for your money. Just enter
your income and your spending,
and it will do the calculations
for you.
See where your money goes
Now you’ve done a budget,
use the Sorted’s Money tracking
guide to help see where your
money really goes. You can
track your spending day to day
or month to month.
Jimmy and Suzie live with their
seven-year-old son in Hastings. When
they bought their ﬁrst house they
decided to work out a budget together.
Making their budget took time, but once
it was done, Jimmy and Suzie could see
where their money was going. They
found there were some areas where
they could spend a bit less and put that
money towards paying off debt.
While the budget was hard to stick to
at ﬁrst, Jimmy and Suzie have paid off
their hire purchase debts and saved
$5,000 towards an emergency fund that
they can use if they need it.
Jimmy’s top tip is to be realistic when
working out a budget. At the start
Jimmy and Suzie just wanted to pay off
their debts and they didn’t leave enough
money for their weekly expenses. So
they changed their budget to have a
bit more money to spend each week –
making that change meant the rest of
their budget could work after all.
1
A list of your spending each week. Keeping
receipts from your shopping
is one way of doing this.
■
2
Your bank statements and bills for at least
the last three months. These will show how
much you are spending each month on
rent, mortgage payments, hire purchase,
credit cards, telephone and power
bills and insurance.
■
3
4
5
A list of costs that you pay from time
to time such as car licensing, medical
expenses, gifts and holidays
■
A list of any money you get such as
your pay, beneﬁts or other government
support, NZ Super or interest you earn
on your savings
■
A list of any regular savings you make
■
Get all the information
Give yourself a couple
of weeks to get all the
information you need. Put
it in one place so that it’s all
together when you’re ready
to make your budget.
Making a budget that works
For a budget to work, the
information needs to be
accurate and complete.
Don’t forget to include the
little things like ice creams
for the kids or bus fares and
money for parking. A budget
also needs to be up to date,
so it’s a good idea to check
it regularly.
Find out what
to do next
Get your budgeting
Get your budgeting
Now you’ve made
your budget, ﬁnd out what
to do next if you have money
left over (a surplus) or not enough
to cover your spending
(a deﬁcit).
Done your budget?
If you have a surplus
If you have a deﬁcit
Here are some things you could do:
Here are some things you could do:
■
■
■
Check that the amounts in your
budget give you enough money
to pay for your family’s expenses.
Are there any areas where a little
more money would make your
budget work better?
■
If you have any savings, use some
of it to pay off debt.
■
Check your budget. Is there any
spending that could be reduced?
■
Use your surplus to pay off your
debt more quickly
Save your surplus towards one
of your goals. Your goal could
be having an emergency fund,
buying a house or saving for a
holiday.
■
Meet a budget adviser and work
out a savings plan
■
Make a date to check your
budget in six months’ time.
Call 0800 774 004 to make sure
you are getting your Working for
Families entitlements – you may
qualify for Working for Families
tax credits, the Accommodation
Supplement or Childcare
Assistance.
■
Think about ways to earn more
income
■
Meet a budget adviser.
Getting help
If you need help to make a budget, call
Family Budgeting Services on 0508 BUDGET
(0508 283 438). Their services are free and
conﬁdential. A trained budget adviser will answer
your call. They will answer your questions over
the phone or put you in contact with an adviser
in your area.
Family Budgeting Services has budget advisers
throughout New Zealand who can show you
how to make and operate a budget. They will
help you to take control of your money.
Kiwi story
Things you need
A budget that works
Try our online calculators
Budgeting made easy
Use the Money planner to make
a plan for your money. Just enter
your income and your spending,
and it will do the calculations
for you.
See where your money goes
Now you’ve done a budget,
use the Sorted’s Money tracking
guide to help see where your
money really goes. You can
track your spending day to day
or month to month.
Jimmy and Suzie live with their
seven-year-old son in Hastings. When
they bought their ﬁrst house they
decided to work out a budget together.
Making their budget took time, but once
it was done, Jimmy and Suzie could see
where their money was going. They
found there were some areas where
they could spend a bit less and put that
money towards paying off debt.
While the budget was hard to stick to
at ﬁrst, Jimmy and Suzie have paid off
their hire purchase debts and saved
$5,000 towards an emergency fund that
they can use if they need it.
Jimmy’s top tip is to be realistic when
working out a budget. At the start
Jimmy and Suzie just wanted to pay off
their debts and they didn’t leave enough
money for their weekly expenses. So
they changed their budget to have a
bit more money to spend each week –
making that change meant the rest of
their budget could work after all.
1
A list of your spending each week. Keeping
receipts from your shopping
is one way of doing this.
■
2
Your bank statements and bills for at least
the last three months. These will show how
much you are spending each month on
rent, mortgage payments, hire purchase,
credit cards, telephone and power
bills and insurance.
■
3
4
5
A list of costs that you pay from time
to time such as car licensing, medical
expenses, gifts and holidays
■
A list of any money you get such as
your pay, beneﬁts or other government
support, NZ Super or interest you earn
on your savings
■
A list of any regular savings you make
■
Get all the information
Give yourself a couple
of weeks to get all the
information you need. Put
it in one place so that it’s all
together when you’re ready
to make your budget.
Making a budget that works
For a budget to work, the
information needs to be
accurate and complete.
Don’t forget to include the
little things like ice creams
for the kids or bus fares and
money for parking. A budget
also needs to be up to date,
so it’s a good idea to check
it regularly.
Find out what
to do next
Get your budgeting
Get your budgeting
Now you’ve made
your budget, ﬁnd out what
to do next if you have money
left over (a surplus) or not enough
to cover your spending
(a deﬁcit).
Done your budget?
If you have a surplus
If you have a deﬁcit
Here are some things you could do:
Here are some things you could do:
■
■
■
Check that the amounts in your
budget give you enough money
to pay for your family’s expenses.
Are there any areas where a little
more money would make your
budget work better?
■
If you have any savings, use some
of it to pay off debt.
■
Check your budget. Is there any
spending that could be reduced?
■
Use your surplus to pay off your
debt more quickly
Save your surplus towards one
of your goals. Your goal could
be having an emergency fund,
buying a house or saving for a
holiday.
■
Meet a budget adviser and work
out a savings plan
■
Make a date to check your
budget in six months’ time.
Call 0800 774 004 to make sure
you are getting your Working for
Families entitlements – you may
qualify for Working for Families
tax credits, the Accommodation
Supplement or Childcare
Assistance.
■
Think about ways to earn more
income
■
Meet a budget adviser.
Getting help
If you need help to make a budget, call
Family Budgeting Services on 0508 BUDGET
(0508 283 438). Their services are free and
conﬁdential. A trained budget adviser will answer
your call. They will answer your questions over
the phone or put you in contact with an adviser
in your area.
Family Budgeting Services has budget advisers
throughout New Zealand who can show you
how to make and operate a budget. They will
help you to take control of your money.
Kiwi story
Things you need
A budget that works
Try our online calculators
Budgeting made easy
Use the Money planner to make
a plan for your money. Just enter
your income and your spending,
and it will do the calculations
for you.
See where your money goes
Now you’ve done a budget,
use the Sorted’s Money tracking
guide to help see where your
money really goes. You can
track your spending day to day
or month to month.
Jimmy and Suzie live with their
seven-year-old son in Hastings. When
they bought their ﬁrst house they
decided to work out a budget together.
Making their budget took time, but once
it was done, Jimmy and Suzie could see
where their money was going. They
found there were some areas where
they could spend a bit less and put that
money towards paying off debt.
While the budget was hard to stick to
at ﬁrst, Jimmy and Suzie have paid off
their hire purchase debts and saved
$5,000 towards an emergency fund that
they can use if they need it.
Jimmy’s top tip is to be realistic when
working out a budget. At the start
Jimmy and Suzie just wanted to pay off
their debts and they didn’t leave enough
money for their weekly expenses. So
they changed their budget to have a
bit more money to spend each week –
making that change meant the rest of
their budget could work after all.
1
A list of your spending each week. Keeping
receipts from your shopping
is one way of doing this.
■
2
Your bank statements and bills for at least
the last three months. These will show how
much you are spending each month on
rent, mortgage payments, hire purchase,
credit cards, telephone and power
bills and insurance.
■
3
4
5
A list of costs that you pay from time
to time such as car licensing, medical
expenses, gifts and holidays
■
A list of any money you get such as
your pay, beneﬁts or other government
support, NZ Super or interest you earn
on your savings
■
A list of any regular savings you make
■
Get all the information
Give yourself a couple
of weeks to get all the
information you need. Put
it in one place so that it’s all
together when you’re ready
to make your budget.
Making a budget that works
For a budget to work, the
information needs to be
accurate and complete.
Don’t forget to include the
little things like ice creams
for the kids or bus fares and
money for parking. A budget
also needs to be up to date,
so it’s a good idea to check
it regularly.
Find out what
to do next
Get your budgeting
Get your budgeting
Now you’ve made
your budget, ﬁnd out what
to do next if you have money
left over (a surplus) or not enough
to cover your spending
(a deﬁcit).
Done your budget?
If you have a surplus
If you have a deﬁcit
Here are some things you could do:
Here are some things you could do:
■
■
■
Check that the amounts in your
budget give you enough money
to pay for your family’s expenses.
Are there any areas where a little
more money would make your
budget work better?
■
If you have any savings, use some
of it to pay off debt.
■
Check your budget. Is there any
spending that could be reduced?
■
Use your surplus to pay off your
debt more quickly
Save your surplus towards one
of your goals. Your goal could
be having an emergency fund,
buying a house or saving for a
holiday.
■
Meet a budget adviser and work
out a savings plan
■
Make a date to check your
budget in six months’ time.
Call 0800 774 004 to make sure
you are getting your Working for
Families entitlements – you may
qualify for Working for Families
tax credits, the Accommodation
Supplement or Childcare
Assistance.
■
Think about ways to earn more
income
■
Meet a budget adviser.
Getting help
If you need help to make a budget, call
Family Budgeting Services on 0508 BUDGET
(0508 283 438). Their services are free and
conﬁdential. A trained budget adviser will answer
your call. They will answer your questions over
the phone or put you in contact with an adviser
in your area.
Family Budgeting Services has budget advisers
throughout New Zealand who can show you
how to make and operate a budget. They will
help you to take control of your money.
Kiwi story
Things you need
A budget that works
Try our online calculators
Budgeting made easy
Use the Money planner to make
a plan for your money. Just enter
your income and your spending,
and it will do the calculations
for you.
See where your money goes
Now you’ve done a budget,
use the Sorted’s Money tracking
guide to help see where your
money really goes. You can
track your spending day to day
or month to month.
Jimmy and Suzie live with their
seven-year-old son in Hastings. When
they bought their ﬁrst house they
decided to work out a budget together.
Making their budget took time, but once
it was done, Jimmy and Suzie could see
where their money was going. They
found there were some areas where
they could spend a bit less and put that
money towards paying off debt.
While the budget was hard to stick to
at ﬁrst, Jimmy and Suzie have paid off
their hire purchase debts and saved
$5,000 towards an emergency fund that
they can use if they need it.
Jimmy’s top tip is to be realistic when
working out a budget. At the start
Jimmy and Suzie just wanted to pay off
their debts and they didn’t leave enough
money for their weekly expenses. So
they changed their budget to have a
bit more money to spend each week –
making that change meant the rest of
their budget could work after all.
1
A list of your spending each week. Keeping
receipts from your shopping
is one way of doing this.
■
2
Your bank statements and bills for at least
the last three months. These will show how
much you are spending each month on
rent, mortgage payments, hire purchase,
credit cards, telephone and power
bills and insurance.
■
3
4
5
A list of costs that you pay from time
to time such as car licensing, medical
expenses, gifts and holidays
■
A list of any money you get such as
your pay, beneﬁts or other government
support, NZ Super or interest you earn
on your savings
■
A list of any regular savings you make
■
Get all the information
Give yourself a couple
of weeks to get all the
information you need. Put
it in one place so that it’s all
together when you’re ready
to make your budget.
Making a budget that works
For a budget to work, the
information needs to be
accurate and complete.
Don’t forget to include the
little things like ice creams
for the kids or bus fares and
money for parking. A budget
also needs to be up to date,
so it’s a good idea to check
it regularly.
Find out what
to do next
Get your budgeting
Get your budgeting
Notes
Get your insurance
Where to now?
1
Got the information you need to budget – spending, income,
statements and bills?
■
2
Made a budget?
■
3
Worked out if you spend more or less than you earn?
■
Next steps:
e.g. call 0508 BUDGET on (date), track your spending
Sorted booklets
Order from sorted.org.nz/ordering
or call 0800 SORT MONEY (0800 767 866).
Sorted 021 April 2012