The best laid budgets go wary.No matter how experienced the budgeter there are bound to be some minor unplanned for expenses.Mind you I am not talking of emergencies such as surgery or even infrequent expenses like say replacing a home appliance or unexpected expenses such as repairing a car.I’m speaking of small expenses such as an improptu evening out with friends or forking for a kid’s school project , toy or outing.These are the sort of expenses which call for a miscellaneous head in our budgets.Budgeting too tightly means there is no flexability to accomodate these small expenses and soon life is bound to become a drag.
The way to ensure there is always a little something for the extras is to decide on a figure and open a small savings account.If you withdraw from this account,top it up in the next budgetary cycle.This way you can be impulsive without upsetting the budget or going overboard with impulse spending.
wealthymatters 