Natasha O'sullivan September 27, 2020 Budget
Hi guys, welcome back to our blog. So, today we are gonna learn how to biweekly budget rollover money from the previous month. Now, I always get questions of how do you budget that? Like how is it that you close out your budget but you still have money in your account. How do you do that?, like how do you roll it from one month to another?. So if you guys notice by paycheck three from December, I basically got paid the last month, the last day of the month. So even though I didn't use that money to fund anything. I put that income as part of my December budget, and I left that chunk of money in my bank account for stuff that was going to happen in January.
So we're gonna go ahead and budget out for that right now, like that you guys understand how rollover money works. Now rollover money happens when you're paid by weekly. So this is kind of be like a bi-weekly paycheck that is like in a transitional period, like getting paid like the last week of the month and having to use that for the beginning part of the month. So let's get started.
First, I'm gonna go ahead and open for January. And I had laid out my January budget and then we're just gonna go ahead. And budget for my rollover like this is the first time I've ever actually done a rollover budget because usually I just wait until I get paid ummm...and like that. I know exactly what my money is being used for, but today I'm gonna go ahead and do that for you.
So I'm gonna take some washing if you guys don't know. I am a decorative budgeter. I use stickers to budget. Now the planner that I'm using is an Aaron Conjure and Seven by Nine Monthly Planner. It's just a monthly planner that has no pages, and I use my stickers to decorate it to fit my financial need layout. Well, I'm gonna call it rollover budget because this is not a paycheck. This is just income that was left over from the previous month that I have to use to cover the first weeks of the month since I won't get paid into the thirteenth.
So, for example; the roller source is paycheck three December left over. Pay number three. It was a magic month, so I had extra money lying around that one I use for debt payment, which is how I closed out my student loan. Paid that off and i was left with $1.208,32. That's how much was left over including the cash that was in my cash on books. So when I closed my budget. This was that was left over and I left that as a question, because I knew I was gonna have fills at the beginning of the month. So this is supposed to cover from December for what I was supposed to, I was like the day to 12th of January.
So like a biweekly pay schedule. I'm supposed to make this last. The only thing is that when i closed December that money was accounted for December, and if you're a zero based budget that would have had a job already, and my job was to keep it in savings, or as a cushion in my bank account to use it again. So that was all that was left.
So, now we're gonna go ahead and budget for that. Let me go ahead and leave a space, because people are getting stimulus check. I'm gonna leave it like that. And when it comes, I'll put it in there since it's not a pay date. It's just income that's coming. So we're gonna leave it at that. What is what I'm working with now if we go back to our calendar. Right, we go back to this calendar. If I got paid on a Wednesday, you can tell. My next page is only thirteen, so I have to look at all the bills that are gonna happen. When the thirteenth happens again, which is my payday, which is only my health benefits. So my health benefits are the only thing that is going to come out of bills in that situation.
Usually people have rent. My rent ends up due to thirteen, so i get paid on thirteen my rent my phone come out. I don't worry about anything that is doing thirteen cause I know my paycheck is gonna hit around like 8 am, 10 am, so I know I'll have more than enough time to pay these out. Now if you are very uncertain when your paycheck is going to hit in the morning at night the next day, or you don't think your payments are gonna process on time. Then you can go ahead and pay this with a rollover money as well. It doesn't really matter, but for me, my transitional paid periods are from the thirty first to the twelve, and the only bill that I have left to pay between those weeks is my health benefit. So, I'm gonna go ahead and put my bills, not a lot of bills, but I'm gonna put it down, so you guys can understand how my rollover works.
So I'm going to go ahead and my sticker down. Hopefully that's a good view. Now, since it's the new year premiums went up when I enrolled in them in November, October. I think it was for me, So I know that the 128,90 that I was paying is no longer gonna be valid. I did get a hint of how much it was increasing. And for that, I'm gonna go ahead and budget 133. I believe it was 132 with some change, but I'm going to make it a solid 133 and that's it.
So, all the bills and expenses are down. Now, when i did my calendar over here, I did mention that I had a birthday and that is for the second. That is my nieces birthday, so I need to make sure I have available income for that. So, I'm gonna go ahead, and I will put that as an expense. Don't we put birthday. And I'm going to go ahead and put nice. Now she wants stuff from Amazon and the reason why I know, this is because the week prior to my budget. I always tell the people whose birthday is coming up. Hey, what do you want? I'm creating my budget on the first, if you don't tell me I'm not putting you in there, you know give me a ballpark, give me an idea, send me some gift ideas, and let me know. So I told that to my sister and to my niece, and they sent me a wish list from Amazon, I added up together and it looked like about $40 worth of stuff. So I'm going to buy her a gift card for Amazon of $40 like that. She can do order whatever she wants. And I don't have to worry about ordering it in time to get it to her. Cause, if I got paid on the thirtieth and I order it now, there's no way it's going to come on the second for her.
Like it's just not even with prime. Like we already know. So a gift card, Bambam here's win, win for both of us. So, that is it. I don't have anything else that I have to worry about building expenses, like we're done with that, so I'm gonna go ahead and close this section. So we're going to go ahead. Enclosed that off at my ruler, make my lines, and we're gonna add that.
Supposed to be easy map, but I use a calculator to show you guys. So, $133 plus $40. I have $173 that I have to set aside for building expenses with this transitional period that I am before my next paycheck hits. So I'm going to go ahead and put $173...cool. Next day I have are my cash envelopes. Again, if you're barely creating a budget and you're working with last month income cause you are waiting for a new paycheck. Make sure you have a set amount for your cash envelopes.
I know i do. So for my January budget, I decided $375 is gonna be groceries for the entire month. Same for gasoline. It's gonna be $60 and spending is gonna get $250. So I'm gonna go ahead and write those down. I'm going to put groceries, gasoline, and spending. This takes care of me and my needs. So, anything else that you think you need for you right now put it on here.
Everyone's cash envelopes are different. All the amounts are different. You know what your budget needs and how you like to see and set that up. So, put your numbers in, put your categories in. They don't have to necessarily be this, they don't necessarily have to be cash envelopes. If you do digital budgeting, just make sure you know the amount that you're setting for yourself and keep it that way.
So, I'm gonna go ahead and make these lines. I'm making sure I'm not writing cook it. But, for groceries, I know I'm doing $187 or $188, i believe. So I want to do about $188 here. Gasoline, I'm doing $30. And for spending here is the thing. Last month I did not spend all of my spending money. I had about $62 left now I can decide if I want to give myself the full amount of 125, i believe.
Based on this budget or just keep the rollover amount that I had left over for December, but to make this as easy as possible, I'm going to go ahead and give myself 125. Because this is like by weekly budgeting, you have to work with previous months income because you're getting paid every two weeks and some of them just intermingle with each other, and it's gonna get worse or better during February since we were having less days or less pay periods there. So just be aware of that. So these are gonna be the budgets that I set up and this is literally all based on my monthly budget. So I'm gonna go ahead and do $188 plus $30. That means I'm setting aside $343 for my cash envelopes.
So here we go. I haven't gotten paid for the month of January, but I am using the leftover income. My roller money from December to cover the first two weeks ,and this is what the first two weeks look for me. And as you guys saw from my sinking bun setup, I also have savings goals and debt payment goals as well.
So I'm going to go ahead and put down a miscellaneous category. Now the miscellaneous category is just you trying to take care of anything extra that you think your income can handle. So for me, I'm gonna see if I can do my car maintenance, my medical co payment, my nordstrom self sinking fun, and my black Friday sinking fun as well. So I'm gonna go ahead and put card maintenance. And these are just basically sinking funds that you know you can go ahead and fun, or you can wait off. They're not important, that's why they're miscellaneous.
These are the most important when it comes to your budget, cart maintenance. Miracle, this is my medical fun and then the other two that I had in mind to taking care of is nordstrom, and Black Friday. Now, if you guys are wondering why I am thinking so far ahead is because for Black Friday. We're planning on spending a big chunk of money and I don't want to fork that from my budget from the month of November. I want to save a little bit by little bit by little bit, so we can reach there and I'm also doing half and half with my boyfriend now
The northern cell, like i said, i buy clothes in one, go for once a year. Trust me, I do I'm not a very shoppy person with clothing, but I do love the northern cell, and that one I usually spend about $500 and I don't want that to come out of my personal budget in one go for the income that's coming from July, cause then I kind of trap myself in being unprepared or having un-budgeted expenses.
So I'm starting now little bit by little bit if my budget can handle it, and so far with the rollover, it looks like i can. So, for car maintenance, we are literally taking those numbers from my sinking fund goals. So when I set up my sinking phones goal, this is all I'm trying to save. I'm not overdoing it. This is everything I think I need, and I'm not going too crazy and each of them has a savings period. So the ones that are always going to be ongoing is card maintenance allowance can be $40 medical co-pays/co-payment is gonna be $25, and this is monthly. So I only have to do this once a month, or if you are biweekly paycheck budget, or you can do this twice a month break these apart.
So $20 for this and what is this? twelve fifty, I don't know home for each one of these. But if you can do it in one go, you can't for nurture themselves. Same thing, $60, I can do $30 now and then for home appliances since me and my boyfriend doing half and half my part is $40. So I can break this into 20 or give the full 40. Completely, up to you how you wanna break your savings goals, your debt goals, and all that stuff.
So for cart maintenance, i mean, go ahead and give $20. Cause, I don't wanna over-exert this. The $25 for medical co-payments to just get that out of the way since you never know when you're gonna have a medical visit, or co pay, or at least for me, I know I'm just so radical without it, just it happens. When it happens and for nordstrom, I'm gonna go ahead and do $30. I'm going to break that in half. I'm not gonna give the full $60. I'm gonna break these up into two separate paychecks and then for Black Friday. I'm going to do the same. I'm gonna go ahead, and just do the 20 instead of the 40. Now that you have all of that set.
My next step is my date. So I'm going to go ahead and put that. My dad is still a priority, but I want to make sure that, if I can't take care of these. Then I can scratch all of this off, and I rather find my medical, then pay towards my debt. You get me, i pick and choose. But, I go down the line and say; "yeah, you know what I can do with this paycheck, you know what?, no...no...no". And I'm like, this is a priority. I'm a check that off, so that's how it works in my brain. So I'm going to go ahead and do that payment here, and I'm gonna write down anything until I do the breakdown of it, so I can see exactly how much I have to work with. But I do wanna go ahead and add. In case, i need it.
So wonder, if I can fit it right here, actually can smoke ahead and put this right here. Shall we put income. We're just roll over. And since this is an actual may go ahead and put it here may do 128,32. And then I'm gonna go ahead and you build an expenses. These are budget amounts, because I never know if a bill is gonna pop out like out of the blue, like who knows, you get me. And then, I'm gonna have cash envelopes. Same for here, we put it in the budget section because I may or not spend all of that money. I may spend all $343, or at the end of the week I might have just spent $50 or, you know all of one category. But none of the other, so you get me.
And then miscellaneous. So we go ahead, scratch all of that down. Make my lines. So, now we're going to grab the calculator and we're gonna go ahead and start making the math. So we're working with 1208. At least I'm working with 1208, and the first thing that's coming out is $173 for bill. Then I'm going to think about myself and I'm like, Okay. I need my cash on blocks to live off, and that's gonna be 43. So H have $692. So I'm like, okay. It looks like I can, I'm more than able to do all of this. I'm doing minus $20, minus $25, minus 30, minus $20. That means, I have about $597,32 to throw at my debt. And the reason why ?, I say that is because if you wanted to create a zero based budget, you have to assign any income that you have left job. You don't have to throw it out that you can leave it in your savings. You can leave it as buffer. You can leave it as emergency fund money that you wanna just hoard, but assign it a name. So mine is going to be the payment.
Let me go ahead, and just do 597,32. Because that's what I'm working with. So, now my miscellaneous category is complete. And then, we can add this up $20, $30, $25, and $20. So for miscellaneous category, $20, $30, $25, and $20, we're gonna put that over as 69,322,32, and that should be go zero, if you're zero base budgeting.
So let's recheck the math, total = 832 minus 173 minus 343 minus 692 zero base budget in case you were wondering. How to do that? It's basically just telling your money what to do, and making sure that it has a place to go. So that is how I budget my roller income in case you're a bi-weekly budget. You closed off your December budget, but you had money extra, and you're not going to get paid for another two weeks. So then, you just take that amount. Look at the bills in between those paychecks and everything that you need in between those days as well.
Mine were help benefit birthdays and my new cash envelopes for the month, or for part of the month, and then all the savings I'm working towards to, and my debt. Now all of those $1200 have an assignment, and all I have to do now is watch my behavior and make sure that everything I said goes into play. Now, if you're one of those people that are new to budgeting and you kinda don't know how to average, this is how your budget rollover, how to zero base budget, and how to biweekly budget all in one. So, I hope you guys enjoyed this, and I'll see you my next post. Bye.