8 items you might be leaving off your annual Budget

We all know how important it is to have a financial plan for your income (also known as a budget); however, several expenses are often overlooked when budgeting.

We have made a list of 8 items to keep in mind when you create or relook your budget.

Guests & Visitors
We all have friends and family members that visit either frequently or at the drop-of-a-hat. This can result in unforeseen increases in your food and transportation costs. It’s essential to look at the year ahead and create a basic budget which caters for planned and unplanned guests and visitors.

Pet Care
We all love our pets – they’re “part of the family”, but when a pet gets sick or needs to go to the vet, costs can climb exponentially. Look at acquiring a pet-medical aid or allocating some funds in this regard. Other factors to consider when budgeting for pets include vaccinations, tick and flea care and additional products such as toys.

Bank Fees
It’s important to look at your monthly bank fees, assess what you’re getting from your bank and factor this into your budget. Many people do not even know what their bank charges are, let alone whether they can get more-appropriate service at a reduced monthly rate. Have a look and reassess your needs.

Gifts
Birthdays, baby showers and gifts in kind happen at various times of the year – and can catch you totally unaware when there’s a lot of birthdays or special occasions in a single month. Create an annual lump-sum budget to work from and keep track of it monthly. The “saving” you’ll make in quiet months will help you in the “busier” months.

Car & Household Maintenance
We often “live at the address” where we only tend to something when it’s broken – but a lot can be saved when you factor your car and household maintenance into your annual budget.

Car & TV licences
It’s easy to forget these costs when they only occur once a year. Look at when your car and tv licence is due and ensure you have this money budgeted for in the correct month.

Inflation
The costs of living go up yearly. For many, the budget line items have stayed the same for a few years – not allowing for the effects of inflation. In your 2021 budget, find out what the current rate of inflation is and factor this into your plan.

Whether you include all of these items in your budget, or only a few, the fact remains that having a budget, and sticking to it, should relieve a considerable amount of financial stress as you head into a what we hope to be a great 2021!

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Marwick & Company Inc.