Next list all your variable expenses_those that may change from month to month such as groceries, gas and entertainment. This is an area where you might find opportunities to cut back. Credit card and bank statements are a good place to start since they often itemize or categorize your monthly expenditures. Tip: Record your daily spending with anything that’s handy_a pen and paper, an app or your smartphone.
Begin by listing your income for the month. This should include any paychecks you receive, as well as income from other sources like child support or investments. If you have a business, you should include the amount that you pay yourself out of the business each month.