Split monthly expenses by category

To effectively split your monthly expenses by category, here’s a typical breakdown you can follow. You can adjust the percentage allocations based on your individual needs and financial situation:

1. Housing (25%–30%)

• Rent or mortgage

• Property taxes

• Home insurance

• Utilities (electricity, water, gas, etc.)

• Maintenance/repairs

2. Transportation (10%–15%)

• Car payment or lease

• Fuel

• Car insurance

• Public transportation

• Parking fees

3. Food (10%–15%)

• Groceries

• Dining out or takeout

• Snacks and beverages

4. Insurance (5%–10%)

• Health insurance

• Life insurance

• Renters or homeowners insurance

• Disability insurance

5. Debt Payments (5%–10%)

• Credit card payments

• Student loan payments

• Personal loan payments

• Auto loan payments

6. Savings and Investments (10%–15%)

• Emergency fund

• Retirement accounts (401k, IRA)

• Investments (stocks, bonds)

• Long-term savings goals (home down payment, etc.)

7. Entertainment and Leisure (5%–10%)

• Subscriptions (Netflix, Spotify, etc.)

• Hobbies (sports, crafts, etc.)

• Travel and vacations

• Movies, concerts, etc.

8. Health & Fitness (5%–8%)

• Gym membership

• Doctor’s visits/medications

• Vitamins/supplements

• Other wellness-related expenses

9. Personal Expenses (5%–10%)

• Clothing and accessories

• Haircuts and personal grooming

• Toiletries, cosmetics

• Gifts and donations

10. Miscellaneous (1%–5%)

• Unexpected expenses

• Pet expenses

• Subscriptions and memberships not accounted elsewhere

By categorizing your expenses in this way, you’ll have a clearer picture of where your money is going and can make adjustments as needed. Would you like help setting up a more detailed budget plan based on these categories?