Home > Basics > Beginner

Basics Beginner: Building a Budget

Introduction to Building a Budget What Is a Budget? Budgets Compare Money Flowing In and Money Flowing Out What Are the Parts of a Budget? What Does a Budget Look Like? Economizing with a Budget Budgeting Rules of Thumb How Much Do People Typically Spend on Their Expenses? What Do Budgeting Tools Offer? What to Look For in a Budgeting Tool Types of Budgeting Tools Summary of Building a Budget
Image for How Much Do People Typically Spend on Their Expenses?

How Much Do People Typically Spend on Their Expenses?

(8 of 12)

How Much Do People Typically Spend on Their Expenses?

The most effective method for evaluating your expenses is to take a snapshot of your own spending activity. No two situations are alike. Here is an example of the expenses you would likely need to take into consideration. These ranges are illustrative in nature and meant to provide broad guidelines based upon gross family income before taxes.

Expenses and Gross Family Income

In setting your own goals and priorities, if any of your planned (or actual) expenses exceed these guidelines, then perhaps that is an area you need to reconsider.