We have kiddos and occasionally get invited to do things so that is for admission to places or sending lunch money cash with them to do things with friends family. We budget and pull out in cash 3 categories of fun money family fun money 50.
So what s the most you should be spending on leisure activities and entertainment or what you might call fun.
How much to budget for fun money. The more income you have the higher your fun money budget will likely be. Keep track of your money flow. Some people s fun money budget might be as little as 20 while others budget 200 for fun money.
Most financial experts suggest you allocate around 5 of your budget to fun money but that number can change depending on your situation. And get super creative to stretch those dollars. For instance if you re a recent college grad in a low paying job with student loan debt and rent to pay you may have less to spend on entertainment.
The number varies based on several different factors such as income levels how much debt you have what your savings goals are what your monthly expenses are etc. Trust me that number used to be lower. As it is special money to use for special occasions one shouldn t put a price tag on it.
For our family right now we re spending what we consider to be a reasonable amount of fun money every month. Understand the budget rule 50 30 20 and find your balance. You might have room for 100 or maybe just 10 right now.
The appropriate amount to budget depends on your income savings goals and your sanity. How much fun money should you budget. Separating your fun money from your main checking account and other savings allows you to spend from that stash guilt free.
60 00 per person in our household just my wife and i. Do try to have. Start with your pay.
The hard work of budgeting is sorting out your required expenses. If you follow the 50 30 20 budgeting method you d earmark 30 of your income for discretionary spending which includes what you spend for your enjoyment. There are plenty of budget tips and techniques that can help.
Before we completed dave ramsey s 3rd baby step we only spent 20 00 per person. My fun money 30. How much fun money to spend each month could be 10 to over 500 a month.
According to corley the magic number is 10 percent of your monthly net pay or what. This is how much you should budget for fun money 50 20 30 budgeting. How much you budget for fun each month depends on several things like your income debts and savings goals.
How much money you can budget for fun. Spending money on yourself is your decision. If you re just starting on the baby steps keep that fun money to a bare minimum.
The starting point of 50 20 30 budgeting is your take home pay with two. Once you have made your budget and know how much you will be spending towards each of the. Pull out the last three months.
I work from home and so i don t need cash as much as my hubby.