Budgeting is simply making a plan for your money before you spend it—so you're telling your money where to go instead of wondering where it went. At Ramsey, we use a zero-based budget, where your income minus your expenses equals zero.

What should a budget include?

Include every category where your money goes each month: Giving (tithing or charitable giving), Saving (emergency fund, other goals, retirement), the Four Walls (food, utilities, shelter/rent/mortgage, and transportation), other essentials (insurance, childcare, minimum debt payments), and everything else (entertainment, dining out, subscriptions, personal spending, and nonessential expenses).

How often should I make a budget?

Make a new budget every month before the month begins. Each month will look a little different, so your budget should flex with it. If you get paid weekly, biweekly, or twice a month, just plan your expenses around each paycheck and adjust as needed.

What if my income changes every month?

The best way to budget with irregular income is to use your lowest earning month from the past few months as your estimated income for the next month. This helps you avoid overspending and keeps you living within your means.

How do I stick to my budget?

Keep it simple: Plan your spending, track transactions as you go, and adjust when needed.

How do I choose budget categories?

Begin with the Four Walls (food, utilities, shelter, transportation), then break each into specific lines like groceries, rent, electricity and gas. Then add essentials like giving, saving, insurance, childcare and debt. Finish with nonessentials like personal spending, entertainment, dining out, subscriptions and miscellaneous.

What if I go over my budget?

If you go over in a category, that's okay! Just cut back somewhere else to keep your budget balanced. Then, for your next month, update that category based on what you learned about your spending.

Do I still need a budget if I make good money?

Yes. Budgeting isn't about how much you make—it's about what you do with what you make. A budget gives you clarity, direction and peace with your money, no matter your income.

What's the easiest way to start budgeting?

1. List your income. 2. List your expenses. 3. Subtract expenses from income. 4. Track your expenses all month long. 5. Make a new budget before the month begins.

What's the best budgeting tool or template?

The best one is the one you will actually use and stick with. Start with a simple budgeting app, like EveryDollar (https://www.ramseysolutions.com/money/everydollar), or a template that helps you easily plan, track and adjust as you go.

Budgeting

Budgeting is giving every dollar a job before the month begins. Use the tips and tools below to plan, track, and adjust your budget to fit your life!

EveryDollar

No more wondering where your money’s going. Plan, track and take control of it with the EveryDollar budget app.

EveryDollar
Budget Calculator

New to budgeting or need a reset? Try this budget calculator. Just plug in your monthly income to get your starter budget.

Budget Calculator
Budget Template

Budgeting is giving every dollar a job. Use the tips and tools below to plan, track, and adjust your budget to fit your life!

Budget Template

Everydollar budgeting screen of paychecks

What Is Budgeting?

A budget is just a plan you make for your money before spending it. It helps you give every dollar a job to do so you can cover your needs, save on purpose, and make progress on your goals.

Want simple step-by-step guidance to create your budget?

Get the Budgeting Guide

Budget Tips

Budgeting works when you work it. Use these tips to stay consistent and keep making progress.

Top Budgeting Tips Know If You Can Afford Something How to Stop Spending Money Best Money Hacks Change Your Money Mindset College Budget Tips Create a Meal Plan

Couple holding phones talking about budgeting tips.

A women looking at her phone excited about money saving tips.

Money-Saving Ideas

A little breathing room goes a long way. Use these savings ideas to free up cash for your next money move.

Save on Your Electric Bill Cheaper Cable Alternatives Find the Best Deals Online Cheap Date Ideas Save on Back-to-School Shopping Save Money for Christmas Car Maintenance Tips to Prevent Costs

Budgeting for Inflation

When prices change, your budget should too. Use these resources to reset and stay on track.

Adjust Your Budget for Inflation How to Combat Inflation How to Fight Inflation Guide

A couple looking at their laptop talking about budgeting for inflation.

Give Every Dollar a Job

Start telling your money where to go so you’re not wondering where it went. Our EveryDollar budget app helps you give every dollar a job and keeps you motivated and on track all month long.

Start for Free