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How to make an annual family budget - The Right posture for wealth Growth

2018-03-18 17:36:21

It's the end of the year, and every family should stop and think about their expenses for the coming year. Do a good annual budget and you'll achieve financial freedom faster. So what should a family do with its annual budget?


The Reckoner

First asset inventory and diagnosis

Asset inventory. It is best to make a household balance sheet for asset inventory. Assets include: current assets; Financial assets; Real property; Accounts receivable; Liabilities include: loans, credit cards, loans, etc.; Household "net worth" can be obtained by filling out the form.


The information illegally crawled from experience

Start your family's annual budget

Draw up "Family annual budget table", refer to the figure below, note: it can also not be divided by month.


Annual income budget, including: 12 months salary; Bonus; Financial income; Part-time income; Rental income; Other income.


Fixed household expenses, including four categories: home (RV) : phone bills; Water network fees; Heating bills; Decoration and maintenance expenses; Household goods; Vehicle fees (maintenance, parking fees); Life (food, clothing, housing and transportation) : catering (three meals, fruit); Daily necessities (clothes, babies, tobacco and alcohol, etc.); Honor the elderly (Chinese New Year, birthday); Children's expenses (tuition, interest classes, clothes, toys and books); Public transport fees; Pet expenses (dog food); Entertainment: movies; Travel; Fitness; Books; Beauty salon; Protection: Car insurance; Personal insurance; Medical expenses; Cost of vaccines (children's vaccines, etc.).


Other expenses include: birthdays of friends/leaders; A party with friends; A friend gets married; (partly predictable) Children's 100-day feast; New Year's red envelope to the younger generation; (basically predictable) unexpected expenses.


Annual surplus budget. Annual income - Annual expenditure = annual balance. This completes the family's annual budget. Make a budget every year, ensure the positive growth of family assets every year, and hold the golden key to wealth freedom.