Budget is a term which means that one gets to know approximately as to what the income is & what will be the expenditure for the set duration or the period of time. Thus, to make things easier, we have come up with this tool popularly known as the budget calculator which will be helpful to all the users.
How to use a budget calculator?
In order to know the budget, an individual will be required to enter the following values. In the 1st field, you will have to enter the salary or the income that you get. You can also select as to whether the income is per month or year – wise. The next field will be left for the pension or the other social security amount. Following this, you should enter other income which might be from the other sources apart from the income tax rate.
After this, one will have to enter the following things as well & accordingly select the options that is monthly or yearly. The fields are marked like the ones mentioned below – mortgage, property tax, auto loan, rental, other loan & liability. The next column is stated to be the living expenses & this list includes grocery, transportation, clothing, utilities, entertainment, home maintenance & travel among others.
While this is completed, you will also be required to mention the savings or the other investments such as the bonds or the funds. Even the education expenses like that of the tuition or the books / trips / etc are to be listed out. An individual can also mention the healthcare expenditure as well besides mentioning the amount spent on the donation before clicking on the tab that reads ‘calculate’. This way you will get to know as to what your income is & what the expenses are.
Formulae related to budget calculator
On this page we have also listed out the formula that are related to the word budget in specific & general as well.
When the budget deficit is in question then the formula which is applicable for such a question has been listed below –
\(budget\quad deficit\quad =\quad total\quad expenditure\quad -\quad total\quad income\)
To calculate budget, the general formula which is made use of is as follows –
\(budget=fixed \quad expenses\quad +\quad flexible \quad expenses\quad +\quad miscellaneous\quad -\quad total\quad income\)
In the above equation, one can say that the users remember the simple fact that their budget should not exceed the total income because if the budget increases & if it is higher than the income then it may lead to a troubling situation. Therefore proper & a detailed planning technique is to be followed especially when the budget of a month is in question. In addition to this, this budget is also responsible for having a huge impact on the other things such as the savings or any other similar things.
Hence, it is advised to all that they make use of this budget calculator to make their life way too easier in order to keep themselves away from the rest of the troubles.