Taking control of your money is one of the most empowering things you can do, and creating a budget is the first step.

A budget isn’t about restricting what you spend; it’s about understanding where your money goes, planning ahead, and making your money work for you.

Whether you’re trying to pay off debt, save for something special, or just feel more confident about your finances, our Budget Calculator and Budget Planner Spreadsheet can help you get started.

Why budgeting matters

Budgeting helps you:

  • See clearly how much money you have coming in and going out
  • Identify areas where you might be overspending
  • Plan for upcoming bills and avoid surprises
  • Save for the future or build an emergency fund
  • Reduce financial stress and feel more in control

Before you start

To get the most accurate picture of your finances, gather the following:

  • Bank statements for the last 2–3 months
  • Credit card or loan statements
  • Bills and receipts (digital or paper)
  • Notes of cash purchases and annual expenses such as car insurance, MOTs or holidays

Top tip: Estimate slightly higher rather than lower for your spending, it’s always better to build in a buffer for unexpected costs.

The 50-30-20 rule

A simple way to structure your budget is by using the 50-30-20 rule.

Category

% of Income

Examples

Needs (Essentials)

50%

Rent or mortgage, utilities, council tax, insurance, food, fuel, minimum debt repayments

Wants (Non-essentials)

30%

Eating out, subscriptions, hobbies, holidays, entertainment

Savings & Debt Repayment

20%

Savings, emergency fund, overpayments on loans or credit cards

It’s just a guide, everyone’s situation is different. If your rent or childcare costs are higher, you may need to adjust your percentages. What’s important is understanding your spending and deciding what feels right for you.

Try our budget calculator

Use our Budget Calculator to:

  • Work out where your money goes each month
  • See if you can cut back or adjust certain costs
  • Identify opportunities to save or pay down debt faster

The calculator gives you a clear overview of your spending habits, helping you make confident, informed decisions about your finances.

Download our budget planner

If you prefer to take a closer look, try our Budget Planner Spreadsheet, no Excel expertise needed! Simply add your weekly or monthly amounts, and it does the calculations for you.

Prefer pen and paper? There’s also a printable version available.

Download:

Useful budgeting tips

Here are some small changes that can make a big difference:

1. Review regularly

Check your budget monthly. Your expenses can change — new bills, cancelled subscriptions, pay rises, or bonuses can all affect your balance.

2. Track spending automatically

Use your banking app’s spending insights or free budgeting apps to see where your money goes. Categorising your spending can reveal patterns you didn’t expect.

3. Cut unnecessary costs

  • Cancel unused subscriptions or memberships.
  • Switch to better deals on utilities, broadband or insurance.
  • Cook at home more often or plan “no-spend” days.

4. Plan for annual costs

If you work in the automotive industry, big yearly payments (like MOT, tax, or insurance) can add up. Divide these into monthly amounts and put them aside, this helps you avoid a financial pinch later.

5. Build a safety net

Aim to save for emergencies, ideally 3–6 months’ worth of essential expenses. Even saving a small amount each month adds up over time.

6. Don’t be too hard on yourself

Budgets are living documents, they evolve. Some months will go better than others. The goal is progress, not perfection.

Example monthly budget breakdown

Category

Example Spending (£2,000 net income)

Needs (50%)

£1,000 (rent £700, utilities £150, food £150)

Wants (30%)

£600 (streaming £30, meals out £120, hobbies £100, holidays £350 saved monthly)

Savings/Debt (20%)

£400 (savings £200, credit card repayment £200)

If you find you’re spending more than 50% on essentials, look at your wants category first, even small reductions can make room for savings.

Remember

Budgeting isn’t about saying no, it’s about saying yes to what matters most. Every small step you take brings you closer to financial confidence and stability.

If you’re struggling with budgeting, debt, or financial stress, Ben can help.

Call 08081 311 333 or chat with us online for free, confidential support and advice.

Budget calculator

Use our budgeting tool to help you calculate your monthly spending. It can help you decide if you’re happy with where your money’s going and see where you could make some positive changes. 

 

Budget planner spreadsheet

If you'd like to look at your finances in more detail, you can download our easy-to-use spreadsheet. Don't worry, you don't need to be a whiz on Excel to use this, all you need to do is put in your weekly/monthly amounts and the spreadsheet will do the rest. We also have a good old-fashioned printout option too.

Remember it's better to guess larger than smaller to give yourself a bit of a buffer.

Monthly Budget Calculator - Spreadsheet
Monthly Budget Calculator - Printout