When budgeting for transportation, keep in mind that some components of this category, such as car payments, are considered fixed, whereas others, like gas, vary. Depending on your living situation, transportation costs might include a monthly metro pass, ridesharing, car loan or vehicle leasing payment, registration, insurance, fuel and routine maintenance like oil changes. Unless you’re among the lucky few who can bike or walk everywhere you need to go, budgeting for transportation is nearly as essential as budgeting for housing. Generally speaking, the older you are, the more you’re likely to spend on healthcare. Americans’ average healthcare spending reached $5,452 per household last year, according to the BLS, with $3,704 of that going to health insurance. How much you spend on healthcare depends on your age, whether you’re taking prescription medication and the cost of your insurance premiums. Healthcare costs include your health insurance premiums if you’re not covered through work - or if you’re topping up your coverage using private market insurance - as well as costs for healthcare not covered by insurance and any money you spend on co-pays and deductibles. Staying healthy isn’t free, so you should include the cost of healthcare in your budget planner. If you own your home, you should also include the cost of your property tax, homeowner’s insurance and homeowner’s association fees, if applicable, when budgeting for housing costs.

Research from the Bureau of Labor Statistics found that American households, spent an average of $22,624 on housing in 2021. The most important part of your monthly budget is the amount you spend on housing, and chances are, it’s also the biggest. Take Our Poll: Do You Have an Emergency Fund Established? Housing This category includes the absolute necessities - such as housing, health insurance and transportation - and often comprises the largest portion of your budget. Fixed expenses don’t change from month to month, and they’re often non-negotiable. When it comes to budgeting, there are two categories of expenses: fixed and variable.

Basic money management worksheets