- My Forums
- Tiger Rant
- LSU Recruiting
- SEC Rant
- Saints Talk
- Pelicans Talk
- More Sports Board
- Fantasy Sports
- Golf Board
- Soccer Board
- O-T Lounge
- Tech Board
- Home/Garden Board
- Outdoor Board
- Health/Fitness Board
- Movie/TV Board
- Book Board
- Music Board
- Political Talk
- Money Talk
- Fark Board
- Gaming Board
- Travel Board
- Food/Drink Board
- Ticket Exchange
- TD Help Board
Customize My Forums- View All Forums
- Show Left Links
- Topic Sort Options
- Trending Topics
- Recent Topics
- Active Topics
Started By
Message
Setting up budget with fluctuating income
Posted on 7/8/14 at 12:33 pm
Posted on 7/8/14 at 12:33 pm
How do the pro's of this board budget with a fluctuating income? My wife get's paid 2x per month and one of the paychecks is always fluctuating so it's hard to set a solid budget not knowing what the second paycheck is going to be. Do I take an average of them or just factor in the guaranteed part of the paycheck (which matches the first paycheck of the month) and then anything above the guaranteed is gravy?
5
Posted on 7/8/14 at 12:36 pm to CHiPs25
quote:
How do the pro's of this board budget with a fluctuating income? My wife get's paid 2x per month and one of the paychecks is always fluctuating so it's hard to set a solid budget not knowing what the second paycheck is going to be. Do I take an average of them or just factor in the guaranteed part of the paycheck (which matches the first paycheck of the month) and then anything above the guaranteed is gravy?
My second paycheck of the month fluctuates as well. I know I'm going to get more than "base" but don't know what it will be, so I make a safe estimation and then treat the rest as "gravy" if you will.
The real key is that hopefully you make enough money that all your savings goals and expenses are met before that money is calculated, and therefore you aren't relying on it month to month.
This post was edited on 7/8/14 at 12:40 pm
Posted on 7/8/14 at 12:37 pm to CHiPs25
I dont have experience with this, but I would this
Oh, and gravy = savings for me. All that gravy would go straight into savings for something (house, retirement, extinguish debt, etc.)
quote:
just factor in the guaranteed part of the paycheck (which matches the first paycheck of the month) and then anything above the guaranteed is gravy
Oh, and gravy = savings for me. All that gravy would go straight into savings for something (house, retirement, extinguish debt, etc.)
Posted on 7/8/14 at 12:42 pm to CHiPs25
i have this but its quarterly. And it can swing a lot.
I created my budget based off the lowest amount I can reasonably expect (roughly 10k/qtr) and went from there. everything else is just saved.
I created my budget based off the lowest amount I can reasonably expect (roughly 10k/qtr) and went from there. everything else is just saved.
Posted on 7/8/14 at 12:43 pm to Teddy Ruxpin
quote:
The real key is that hopefully you make enough money that all your savings goals and expenses are met before that money is calculated, and therefore you aren't relying on it month to month.
We try our best. We live in Chicago so rent is crazy expensive as is cost of living and wife doesn't make all that much. And we have a baby on the way so saving is even more important now.
Posted on 7/8/14 at 12:46 pm to CHiPs25
quote:
just factor in the guaranteed part of the paycheck (which matches the first paycheck of the month) and then anything above the guaranteed is gravy?
I don't know of any other way to do it - I would take her "extra" and use it to fund your emergency fund ($1000), pay extra principal on your consumer/revolving debts until retired and then your fund for 3 to 6 months of expenses.
After that, use that to invest to increase your baseline minimum income. It's not a bad thing that it fluctuates, but you cannot budget for uncertain income.
This post was edited on 7/8/14 at 12:47 pm
Posted on 7/8/14 at 12:51 pm to CHiPs25
My main income stream jumps all over the place. I get a base salary and then my commision/bonus structure is paid quarterly.
I live well within my means with my base and then just use all the bonus/commision money for whatever the heck I feel like (usually some kind of investments).
Figure out what the lowest your check can be and then live on that budget.
I live well within my means with my base and then just use all the bonus/commision money for whatever the heck I feel like (usually some kind of investments).
Figure out what the lowest your check can be and then live on that budget.
Posted on 7/8/14 at 1:03 pm to CHiPs25
quote:
We try our best. We live in Chicago so rent is crazy expensive as is cost of living and wife doesn't make all that much. And we have a baby on the way so saving is even more important now.
Bummer. God willing my plan is to save money before I knock up the Mrs. That way we have a stash of cash on hand to take care of the sudden change of expenses. Or to wait and make more money before having one.
I'm sure it will land somewhere in the middle.
Posted on 7/8/14 at 1:08 pm to Teddy Ruxpin
Our hope is that we move back south within a year which will help out the finances. Should be able to save over $1k/month just in rent.
Posted on 7/8/14 at 3:46 pm to CHiPs25
It's fairly simple. Budget your income with what you if the bottom line every month. If she makes more, great.
Page 1 of 1
Popular
Back to top
Follow TigerDroppings for LSU Football News